Are the Boomed Numbers Signs of Improvement for the Toronto’s Real Estate Market?
In Toronto real estate news, As per July 2018’s data, the boomed numbers in sales suggest that there has been the improvement in the Toronto’s real estate. However, the comparison from the last year’s data doesn’t quite reveal the real story. Irrespective of the gains displayed, overall comparison proves that this has been one of the worst months in over a decade’s time.
July 2018 vs. July 2017
As per the Toronto Real Estate Board (TREB), the sales have shown a good increase of 18.6% in July 2018 as compared to the sales in July 2017 along with active listings that have gone up too by 5.2%. Months of inventory shows a increase of 12.8% and average prices have gone up by approximately 5% when compared to the data of July 2017.
Toronto Real Estate Average Sales
The average sales in the last year had been quite lower as compared to this year. There has been an increase in the average prices from $746,000 to $782,000 that shows an increase by 4.81%. It is also important to note that the average annual prices have shown an increase of 8.54%. An increase in the average sales price indicates that the real estate is doing good and not suggestive of the prices going up.
Toronto Housing Benchmark Pricing
The benchmark pricing has gone down when compared to the last year by 0.59%. However, the benchmark pricing has been better as compared to the month of June 2018 where there was a decline of 4.7%.
Number of Sales
When compared to the previous year’s data, the Toronto’s real estate has gone up with its number of sales data that is 18.6% higher. The increase in sales as compared to the last year might make you a little happy. Before you get all too excited, you must know that the last year’s sales numbers have been incredibly lower in years and topping that isn’t a real good thing altogether. July 2018 has been one of the slowest growing months in approximately a decade, except for the month of July 2017.
Months of Inventory (M.O.I)
The M.O.I. for the month of July has hit the lowest in quite some time. There has been a decrease of more than 12% compared to last year. But this number has increased since last month. The inventories have shown a rise in the suburbs, unlike the city.
The number of active listings has gone down to 13,868 with a decrease of more than 2%. The city displayed the rise in the number of active listings by 0.26%.
Median Sale Prices
The median sale prices have shown a decent increase to $670,000 by approximately 7% as compared to the previous year’s data as reported by the Toronto Real Estate Board. Toronto city’s median sale prices have gone up by approximately 10%.
The annual changes discussed definitely indicate that there has been the significant improvement in the Toronto’s real estate. At the same time, you must understand that comparing annual data might give you a fuzzy picture!
Comparisons of Monthly Data till July 2018
It is noteworthy that when you compare the July’s sales with the sales of the months from January to June, you might notice a significant decline in the numbers. The data from the Toronto Real Estate Board indicates a dramatic decrement in the sales numbers when compared to the months of March, April, May, and June.
Active listings in the month of July 2018 have gone down too, especially when compared to the previous two months i.e. June and May. Definitely not a good sign! The months of inventory (M.O.I.) in July 2018 doesn’t show a decent rise when compared to the previous months throughout the year. The M.O.I have been highest in case of detached and condo apartments. The average days on market has gone down to up to 25 when compared to the previous months.
The average listings have gone down to 19,725 from 20,844 (Data from June 2018) and 20,919 (Data from May 2018) which is indicative of the fact that the Toronto real estate is not doing well at all. M.O.I. has been 2.8 which have only slightly increased from 2.6 and 2.7 from the months June and May respectively. The average pricing has gone down to $782,000 which has been lowest in the last four months.
No matter how promising the data looks, there has been significant cool down in the Toronto real estate in the month of July 2018. The month of July has been one of the worst months since 2009.