Greater Toronto home sales rise 9.4% in June amid signs of market recovery

Toronto —
Home sales in the Greater Toronto Area recorded an increase of 9.4% in June compared to the same period last year, indicating a new sign of improvement in real estate activity after a slow start to the year.

The number of homes sold reached 6,770 units, while sales also rose by 1.4% compared to May after adjusting for seasonal factors.

Despite the improvement in sales activity, prices continued to record an annual decline, as the average home price dropped to about 1.06 million dollars, a decrease of 3.9%, while the composite benchmark price, which reflects the typical value of homes, fell by 5.4%.

On the other hand, the number of new homes listed for sale declined by 12.9%, and the total active supply in the market decreased by 13.5% compared to last year, indicating a shrinking inventory available to buyers.

The Toronto Regional Real Estate Board sees that the market showed a significant improvement during the second quarter of the year, expecting an increase in the pace of sales and intensified competition among buyers in the coming months, which may support the return of prices to rise.

All types of properties witnessed an increase in sales, with condominiums being the most active, as their sales rose by 14.3% year-over-year, followed by detached homes at 9.1%, then townhouses at 4.3%, and semi-detached homes at 3%.

Specialists indicate that many owners are now postponing selling their homes after not obtaining the prices they seek, preferring in some cases to rent out properties instead of selling them, which contributed to the decline in the number of new units listed on the market.

Despite the recent improvement, experts confirm that the real estate market has not yet reached full recovery, and that the continued rise in sales and decline in supply for a longer period will be a decisive factor in price stability and the gradual return of growth in the coming period.