Strong home sales continued in July, with a substantial rebound over last summer's slow-down brought about by higher mortgage rates, new lending guidelines and misconceptions about the HST.
Low mortgage rates, rising incomes and good news on the jobs front have kept consumers confident in purchasing a home. In fact, home buyers are much more confident than they were this time last year when concerns around the HST, interest rate hikes and new mortgage lending rules had temporarily put a damper on home sales.
Ontario – July sales and average price up compared to 2010
Toronto, August 4, 2011 - Greater Toronto REALTORS® reported 7,922 transactions through the Toronto MLS® system in July 2011, representing a 23% increase over July 2010. Total sales through the first seven months of this year amounted to 55,863 – down by 1.3% compared to the same period in 2010. After adjusting for seasonal fluctuations, the July figure continued to point to an annual sales result close to 90,000 – in line with results from the previous six months.
"Strong home sales continued in July, with a substantial rebound over last summer's slow-down brought about by higher mortgage rates, new lending guidelines and misconceptions about the HST. The greatest rebound was seen in the condominium apartment segment in the City of Toronto," said Toronto Real Estate Board (TREB) President Richard Silver. "If the current pace of sales holds up, we could see the second best year on record under the current TREB market area."
The average selling price in July was $459,122 – up by almost 10% compared to the July 2010 average of $418,675.
"Tight market conditions have boosted the annual rate of price growth this year. However, the listings situation is starting to improve. A better supplied market later this year and into 2012 would lead to a more sustainable rate of price growth," said Jason Mercer, TREB’s Senior Manager of Market Analysis.
Ottawa, August 4, 2011 - Members of the Ottawa Real Estate Board sold 1,326 residential properties in July through the Board’s Multiple Listing Service® system compared with 1,116 in July 2010, an increase of 18.8%. The five-year average for July sales is 1,377.
Of those sales, 307 were in the condominium property class, while 1,019 were in the residential property class. The condominium property class includes any property, regardless of style (i.e. detached, semi-detached, apartment, stacked, etc.), which is registered as a condominium, as well as properties, which are co-operatives, life leases and timeshares. The residential property class includes all other residential properties.
“What a difference a year makes. Last summer the real estate market was reeling from the implementation of the HST that saw many buyers and sellers move up their purchases to the winter and early spring. 2011 is a different story, one that looks a lot more like the average year for Ottawa’s resale housing market,” said Board President-Elect Ansel Clarke.
The average sale price of residential properties, including condominiums, sold in July in the Ottawa area was $341,330, an increase of 6.2% over July 2010. The average sale price for a condominium-class property was $270,933, an increase of 11.3% over July 2010. The average sale price of a residential-class property was $362,539, an increase of 4.8% over July 2010.
British Columbia – home sales edge lower in July
Vancouver, August 11, 2011 - The British Columbia Real Estate Association (BCREA) reports that Multiple Listing Service® (MLS®) residential unit sales in the province rose 12.9% to 6,533 units in July compared to the same month last year. The average MLS® residential price climbed 10% to $540,877 last month compared to July 2010.
“BC home sales edged down 4% from June to July, on a seasonally adjusted basis,” said Cameron Muir, BCREA Chief Economist. “Less frenetic buying activity in Vancouver operated to pull total provincial sales lower.”
“The silver lining in the recent global economic uncertainty is that mortgage rates have the potential to reach record lows in the coming weeks as investors flock into bond markets,” added Muir. “The increased affordability and added purchasing power from lower mortgage rates will help bolster housing demand.”
Year-to-date, BC residential sales dollar volume increased 16.5% to $28.2 billion, compared to the same period last year. Residential unit sales increased 1% to 48,628 units, while the average MLS® residential price rose 15.3% to $579,645 over the same period.
Alberta - local housing market continues upward trend
Edmonton, August 3, 2011 - According to the REALTORS® Association of Edmonton, the average price of housing increased through July as compared to the previous month. The all-residential average price increased 1.1% to $334,054; up from $330,298 in June. Single-family home prices increased 1.3% while condo prices rose 4.3% during the month.
Residential sales in July were 1,441 up 3.6% compared to the same time last year. Residential listing activity dropped slightly in July to 3,038 units; down 210 units from June but up 193 units from the same time last year. The inventory of homes on the MLS® is quickly approaching par from last year at 8,421 properties available as of July 31.
“Our local housing market is quite healthy with affordable prices, a good inventory and strong sales,” said REALTORS® Association of Edmonton President Chris Mooney. “The selection of properties on the market for buyers is excellent. With employment opportunities popping up throughout the region and interest rates being very attractive, now is a good time to purchase a property in Edmonton.”
The average price of a single family detached home in July was $384,656 with a median price of $360,000. Condo average price was $244,225 with a median of $223,000. Duplex and rowhouse prices rose on average from $296,969 to $309,816, a 4.3% increase.
“The increase in housing prices is on track with our January forecast and as we move into fall, we don’t see prices increasing substantially,” said Mooney.
The average days-on-market in July was 51 days: the same as in July 2010. The residential sales-to-listing ratio was 47% in July and total MLS® System sales were over $3.887 billion for the year so far.
