DECEMBER STATS & 2020 IN REVIEW
I would like to start by wishing everyone a Happy New Year! 2020 was anything but a normal year and the Toronto housing market certainly followed an unfamiliar path. The year started off very strong but the market came to a screeching halt in mid-March due to COVID and the ensuing lockdowns. The Spring market, which is normally the busiest time of the year for real estate was pretty much wiped out. As lockdown restrictions eased in late May, buyers and sellers quickly remerged and home sales roared back to record levels throughout the summer and fall. A strong economic rebound in many sectors of the economy, ultra-low borrowing costs, and the enhanced use of technology for virtual open houses and showings fuelled and sustained the housing market recovery.
While the housing market as a whole recovered strongly in 2020, it's important to note that the single-family market segment carried this recovery. Other market segments, such as the downtown condo market, were more negatively impacted as a result of the pandemic.
Here are some key market trends that we saw in 2020:
- Working from home became the norm and larger living spaces became a high priority.
- Work from home accelerated a lot of people's plans to leave the city or move from a condo into a single-family home in the city in search of more space.
- Many people decided to move to the suburbs and further out.
- The demand for downtown long-term rentals softened considerably and the demand for short-term Airbnb rentals was virtually eliminated.
- The number of sales and sales prices of detached homes in the 905 was up significantly year-over-year.
- By contrast, condo sales and prices in the 416 were down slightly overall.
- Rental rates for downtown condos were the hardest hit. Monthly rental rates were down by up to 25% in some buildings and neighbourhoods.
TRREB released its monthly key housing market stats for December 2020 and we saw a new record for the number of sales in the month of November.
- 7,180 sales were reported through TRREB's MLS System in November. Sales volume was up 64.5% versus December 2019.
- There were 5,865 new listings in December. New listings were up 66.1% compared to December 2019.
- The average selling price in December was $932,222 up 11.2% compared to December 2019.
Highlights from 2020 include:
- 95,151 sales were reported - up 8.4% compared to 2019.
- The average selling price reached $929,699 - up by 13.5%.
If you have any questions or would like to find out if it's the right time for you to buy or sell, don't hesitate to give me a call or text at 647-522-9057 or send me an email @ email@example.com.