Explore Toronto Housing Market Predictions: A Spotlight on GTA Real Estate in November 2023. If you’re new here, subscribe to our newsletter for the latest insights—you wouldn’t want to miss out on the updates. Let’s dive into the exciting details without further delay!
The average selling price for all home types in the GTA for November is $1.082 Million. This is down 3.9% from last month. And an increase of 0.3% from November 2022. Even though home prices had a strong start in the first part of the year, things took a bit of a dip around mid-year. This is due to higher interest rates. This caused home values to decrease, now hitting the second-lowest point for the entire year. With the new year fast approaching, it will be interesting to hear what will be said for 2024 Toronto housing market predictions.
So, November had 2.4 months of inventory available on the market. It did not change from last month. Now you may be curious what this metric is all about? Months of inventory gives us an insight into the balance between supply and demand in the housing market. It represents the number of months it would take to sell the current inventory of homes on the market based on the current sales pace. The GTA market is experiencing a more balanced market than in previous years.
There were 4,236 home sales reported for the month of November. This is 6% less than this time last year. The surge in inventory seems to have tapered off. Possibly influenced by winter seasonality or lack of activity from both buyers and sellers due to elevated borrowing costs. In November, the total active listings amounted to 16,759, reflecting a monthly decline of 2,781.
For the month of November, days on market was reported at 25. Which is up compared to 21 from last month. A lower DOM generally indicates high demand. Often favouring sellers. While a higher DOM may suggest a more balanced or buyer-friendly market.
You may have heard already that the Bank of Canada did not raise rates as of the latest update in December. They are holding at 5%. Experts are predicting that the Bank of Canada will lower interest rates in the first half of 2024. These reduced rates are expected to ease affordability challenges for current homeowners and individuals aiming to enter the housing market. If you are considering entering the market, be sure to check out all mortgage options that are available to you.
So to recap, we can say the housing market in the Greater Toronto Area (GTA) is displaying signs of a slowdown. The average home price dropping by 4% compared to the previous month. However, when looking at the year-over-year perspective, GTA home prices have remained almost the same. With an increase of less than 0.3% compared to last year. Toronto housing market predictions suggest a further decline in Toronto home prices in the coming months due to the steadily soft state of the market. Toronto homebuyers, however, could find some relief in the foreseeable future, with predictions indicating a potential decrease in interest rates as early as March 2024.
Keep in mind, the real estate market is always changing, making it crucial to stay well-informed. While general market updates are a good start, they might not address your specific needs. If you are curious about what’s happening in your neighbourhood and area, we recommend a complimentary market evaluation or scheduling a pressure free conversation with us. Feel free to get in touch – we’re here to help you in your real estate goals.