GTA sales took a summer swoon
August 29, 2018
It was hot across the Toronto area this July but new homebuyers turned cold, according to data released by the Building Industry and Land Development Association (BILD) in Toronto.
Total July new home sales in the Greater Toronto Area (GTA) of 1,071 units were down 44 per cent from July 2017 and down 55 per cent from the 10-year average, according to Altus Group, BILD's source for new home market information.
Sales of new condominium apartments, at 855 units, were down 52 per cent from July 2017 and down 40 per cent from the 10-year average.
Sales of new single-family homes, at 216 units, were up 85 per cent from last July—but that was a month that saw the lowest single-family home sales in decades, with 117 units sold, 77 per cent below the 10-year average.
The benchmark price of new single-family homes was $1,142,574, down 13.2 per cent from last July and just 0.85 per cent above a month earlier.
"New home sales in the GTA typically take a breather in the summer months compared to the spring," explained Patricia Arsenault, Altus Group's executive vice-president, data solutions. "This July was no exception, although minimal new project launches in July, along with declining affordability of new condominium apartments due to recent price escalation, amplified the June-to-July decline in sales somewhat this year."
In the city of Toronto, 568 new condos started in July, down from 1,798 in the same month last year, while there was one detached home start, down from nine in July 2017.