03/03/2023
New data from the Toronto Regional Real Estate Board (TRREB) released on Friday revealed an average selling price of $1,095,617 in February. Some of this decline, TRREB says, is the result of a shift in the number of lower-priced homes that are being purchased. In February, more than half — 57% — of the GTA’s home sales were below $1M, a noticeable change from the 38% they accounted for one year prior.
With the Bank of Canada’s policy rate sitting at 4.5%, significantly higher than the 0.25% seen in February of last year, TRREB President Paul Baron notes that many homebuyers have “decided to purchase a lower-priced home to help offset higher borrowing costs.”
The biggest price drop was seen in 905-area semi-detached homes, where the average sale price was down 25.9% compared to February of last year. Least affected were Toronto townhouses and condos, with prices falling virtually in step with one another by 11.3% and 11.4%, respectively.
