As 2024 progresses at full speed, you may be curious about the Toronto & GTA real estate market, including the average cost of living in Toronto. This information is perfect for anyone eager to gain insights into the Toronto and GTA real estate scene, regardless of whether you’ve been a resident for years or have just recently settled in the area.
Be sure to read until the end, as vital details and insights concerning the Toronto housing market will be revealed. So, sit back, relax, and let’s explore this topic together!
The housing market in Toronto is getting busier, with more homes being sold in January this year than last year. This tells us something about the cost of living. The price for a home on average was $1,026,703, about the same as last year at this time. But, with all the buying and selling going on, it looks like 2024 might be a really active year for the market.
Some home types in Toronto, namely detached and semi-detached houses, saw their prices increase last year, giving us insight, again, about the average cost of living in Toronto. The average sold price of detached houses went up by about $9,000, hitting just over $1.350 million. Despite this small price rise compared to last year, house sales soared by 26% to 1,745. Interestingly, the number of available houses saw an 8.7% decrease from January of the prior year.
Semi-detached houses fetched on average $1.038 million in January. Sales in this category also experienced a significant rise—by 42.9%. As with detached houses, the number of semi-detached houses for sale fell by 21% from January of the previous year.
Even though condo prices saw a slight increase, sales saw a large rise—about 40.5%. Townhouse sales also skyrocketed by 59.5% and the market had fewer townhouses for sale by the end of the month. This could imply a potential price hike due to limited availability.
In a nutshell, despite the smaller number of homes on the market, a lot of buying and selling activity is happening in Toronto. The strong sales activity could push prices up again soon.
In January, sellers reported 4,223 home sales, which is 37% more than the same time last year. This indicates that despite higher rates, individuals are successfully incorporating these costs into their living expenses.
New listings also went up from last year but only by about six percent. Sales growing more than new listings means that buyers had it tougher finding a home than they did a year ago. As the year moves on, we’re expecting even more sales and tougher competition in the market.
The sales-to-new-listings ratio for this month was 51%. This indicates that the Toronto housing market is currently in a balanced state. A balanced market implies that the demand for houses roughly matches the supply of homes available for sale, resulting in neither buyers nor sellers having a noticeable upper hand.
Because it costs a lot to borrow money, many people wanting to buy a home are holding off. They’re taking another look at their money to see what they can afford for a loan. But, there’s some hope in the future.
Experts think we might see some interest rate cuts in 2024, which would affect the average cost of living in Toronto. These cuts probably won’t come until later in the year, but they would help those wanting to get a home loan. Right now, rates are between 5 and over 6%, so it’s good to explore all your choices.
Wrapping up, the Greater Toronto Area’s housing market saw an average home price of $1,026,703 in January, impacting the average cost of living in Toronto. A 37% rise in home sales shook up the market dynamics. The market balance, high mortgage rates, expected interest rate cuts and early signs of recovery all imply that informed decisions are crucial for potential buyers and sellers.
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