A record 36 percent increase in resale home listings last month hasn’t stopped prices from gaining ground in the Toronto region but it does have realtors adjusting their selling tactics.
Toronto area home prices in April grew about 5 percent compared to March and 32 percent year over year, according to the Canadian Real Estate Association (CREA) benchmark index.
At the same time, the number of Toronto area residential sales declined 3.8 percent compared to April 2016 and were down 6.5 percent compared to March 2017.s
That compares to a 1.7-per-cent drop in sales nationally between March and April and a 10-per-cent increase in the number of homes sold in Canada in the same period. Toronto and Greater Vancouver, the country’s most expensive real estate markets, continue to exert a significant influence on the Canadian picture, said CREA in its Monday release.
Taking those two cities out would trim more than $150,000 from the average Canadian home price in April to $559, 317, 10.4-per-cent higher than a year earlier.
The benchmark price is based on a computer model of the value of various home characteristics in the same area, assigning a value to features such as lot size, square footage and the age of the property.
It is the “gold standard” for measuring home prices because, unlike average price, it measures more than dollar volumes which can be skewed by a large number of sales in one particular housing category or price range, said CREA senior economist Shawn Cathcart.
Toronto continues to be the tightest real estate market in the country but it’s still too soon to say that Premier Kathleen Wynne’s April 20 Fair Housing plan has cooled the market, he said.
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