2020 Real Estate Market Outlook and January Market Statistics
Wednesday Feb 12th, 2020
Toronto Regional Real Estate Board's (TRREB’s) baseline forecast is calling for strong growth in home sales and selling prices, while the supply of listings is expected to be flat-to-down.
“Robust regional economic conditions, strong population growth and low borrowing costs will support increased home sales in 2020. Market conditions will become tighter, as transactions will continue to outpace the growth in available listings. The resulting increase in competition between buyers will likely result in an acceleration in price growth across all major market segments” said Mr. Collins, Toronto Regional Real Estate Board President.
Home sales expected to reach the 90,000 mark in 2020, with a point forecast of 97,000 – up by almost 10.5 per cent compared to 87,825 sales reported in 2019.
The point forecast for the overall average selling price in 2020 is $900,000, close to a 10 per cent increase compared to the average of $819,319 reported for 2019.
The key issue, however, will be the persistent shortage of listings. Without relief on the housing supply front, the pace of price growth will continue to ramp up.
Greater Toronto Area REALTORS® reported 4,581 home sales through TRREB’s MLS® System in January 2020 – up by 15.4 per cent compared to January 2019. On a preliminary seasonally adjusted basis, sales were up by 4.8 per cent compared to December 2019.
The average selling price in January was up by 12.3 per cent, driven by the detached and condominium apartment segments in the City of Toronto:
Detached Home - $1,369,848.00, 16.7% Increase compared to January 2019
Semi-detached - $1,004,208.00, 1.1 % Increase
Townhouse - $782,274.00, -1.9% drop
Condo Apartment - $679,182.00, 15% Increase
Toronto Regional Real Estate Board - Full Report