GTA Condo Market 2022 TRREB Stats
As per TRREB’s latest Condo Market Report, the Q3 2022 condominium apartment sales were off by approximately 46% compared to Q3 2021.
There were 4,177 condo apartment sales reported through TRREB’s MLS® System in Q3 2022 compared to 7,795 in Q3 2021. The number of new listings was also down over the same period by 16% to 10,258.
“The condo market remains a very important segment in the GTA housing market, both in terms of ownership and rental. The ownership side of the market has been slower, as some first-time buyers have been sidelined by higher borrowing costs and the hit on affordability. Many of these would-be buyers have shifted to the condo rental market in the short-to-medium term to meet their housing needs,” says the TRREB President.
The average selling price for condominium apartments in Q3 2022 was $720,132 – up 4.5% compared to $689,230 reported for Q3 2021.
Lower number of listings translates into a shorter supply of condos in the market. This in turn will likely sustain and even increase prices in the months ahead. It is important to note that with the post pandemic immigration getting back almost in full motion, GTA condo rental market is gaining momentum, with many renters willing to pay more to secure a unit.
This is now prompting investors to remain as landlords, as opposed to offloading or selling their condos.
October generally represents the peak of the fall market, so it will be important to see where price trends head over the next month. Read what the September 2022 GTA residential real estate market looked like, as well as the latest October 2022 GTA residential real estate market report and what RE/MAX forecast is for the housing market for the rest of Fall 2022.
What can be Your Options as a Buyer or a Seller?
If you are a first time buyer, it can be a smart move to get into the housing market now. GTA prices started to plunge in Mar 2022. In these eight months, condo prices in Mississauga have come down by approx. $100,000 from the peak (from earlier this year and 2021).
It is important to keep in mind that the real estate market is cyclical and comes back to where it was before the crash, just like the stock market.
We already are witnessing a keen interest from investors and first time buyers. As more buyers enter the market, the price drop will slow down. Also if the interest rate hikes by the Bank of Canada slow down, the property prices can slowly start going up again.
We are not making any market predictions but making assumptions based on past experiences!
Last time when our real estate market crashed in 2017 and homes were not selling, we had predicted that 2017 peak prices can take two years to come back to where they were before the crash and that the prices will go up eventually. We are confident of the same, this time too. It can take two to three years for home prices to surpass our Mar 2022 peak prices, this time too.
Canada has a great economy and plans to welcome 500,000 immigrants per year by 2025. So real estate is not going to get cheap, in our opinion.
Move up Buyers
This is a great time to move up as you stand to gain when moving into a higher value property. Only difference this time is that you should try to sell first and buy only once you have a firm offer in hand. Our team has been buying and selling homes all the time, and we can proudly tell you that there has never been any situation (knock on wood), where we were not able to match the dates for our clients.
Another important step you must take is to speak to your lender and get a pre-approval before you think of listing your property. We have lenders who we can refer you to, and they can help you with this.
Call us to discuss your selling and buying plan and save on commission!!
If you are in a situation where you must sell before closing your new home, you should call us to help you sell your home.
With a good marketing plan together with a combination of setting the right selling price, home staging, top social media marketing and a great network of Realtors in our local market and across the GTA, coupled with RE/MAX branding, you stand a great chance to succeed in the buyer’s market that we are currently in.
GTA Condo Market 2022 – Q3 Rental Summary
Total Q3 2022 condo rental transactions amounted to 13,366 – down 17% year-over-year.
There were 17,371 units listed for rent – down by 26% compared to Q3 2021.
However, the average one-bedroom condo apartment rent was $2,481 in Q3 2022, representing a 20% increase compared to the same period in 2021. Over the same period, the average two-bedroom condo apartment rent increased 145% to $3,184.
Read the Full TRREB 2022 Q3 Market Update here.