GTA Real Estate Market September 2022 – TRREB Report
Supply Remains an Issue Despite Higher Mortgage Rates
The housing market continued its adjustment to higher borrowing costs in September 2022. Sales for the month of September 2022 reached 5,038, but were down by 44.1% compared to September 2021. New listings were also down on a year-over-year basis by 16.7% to 11,237.
This was the lowest number of new listings reported for the month of September since 2002. This is especially troublesome given that the stock of homes in the GTA increased markedly over the last 20 years.
Recent polling by Ipsos Public Affairs for TRREB revealed that the public agrees the lack of housing supply is a key issue in the GTA. The poll found that 71% of combined Toronto and ‘905’ regions residents believe that municipalities should focus their efforts on increasing the supply of homes for sale and rent rather than trying to reduce demand for housing.
This has prompted the Toronto Regional Real Estate Board (TRREB) to call upon the municipal election candidates to remain focused on addressing housing affordability across the GTA.
“Hovering just below $1.1 million, the average selling price may have found some support during the last couple months of summer. With new listings down quite substantially year-over-year and well-below historic norms, some home buyers are quite possibly experiencing tighter market conditions in some GTA neighbourhoods. October generally represents the peak of the fall market, so it will be important to see where price trends head over the next month,” says TRREB Chief Market Analyst Jason Mercer.
Sales & Average Price by Home Type September 2022
| Sales | Average Price | |||||
| 416 | 905 | Total | 416 | 905 | Total | |
| Detached | 497 | 1837 | 2,334 | $1,585K | $1,31oK | $1,369K |
| Semi | 180 | 321 | 501 | $1,210K | $949K | $1,043K |
| Townhouse | 171 | 659 | 830 | $943K | $890K | $901K |
| Condo Apt | 875 | 442 | 1,317 | $769K | $655K | $730K |
YoY % Change
| Sales | Average Price | |||||
| 416 | 905 | Total | 416 | 905 | Total | |
| Detached | -44% | -39% | -40% | -11% | -10% | -10% |
| Semi | -44% | -35% | -39% | -7% | -4% | -7% |
| Townhouse | -53% | -46% | -47% | -1% | -1% | -1% |
| Condo Apt | -51% | -49% | -50% | 3% | 3% | 3% |
The MLS® Home Price Index (HPI) Composite benchmark was up on a year-over-year basis by 4.3%. Over the same period of time, overall the average price has dipped by 4.3% to $1,086,762. However, the average price was up compared to August 2022.
In our previous blog post we had presented our views on the RE/MAX’s 2022 Fall Canadian Housing Market Outlook which anticipates Canadian home prices to lower by 2.2% this Fall (September-December) due to high inflation, rising interest rates and economic uncertainty.
Average Home Prices by City September 2022
| Detached | Semi Detached | Condo Townhouse | Condo Apartment | |
| Mississauga | $1,440K | $998K | $817K | $638K |
| Milton | $1,376K | $1,05K | $681K | $621K |
| Oakville | $1,954K | $1,269K | $887K | $732K |
| Burlington | $1,368K | $894K | $875K | $632K |
| Brampton | $1,178K | $939K | $705K | $567K |
| City of Toronto | $1,585K | $1,210K | $831K | $769K |
View more tables, stats and details in the TRREB September 2022 Market Watch Report
Content source: TRREB September 2022 Market Watch
Team Kalia’s POV
A lot goes into selling a home, however at Team Kalia, we feel that pricing a property correctly is very important, especially in the current market situation, where there are fewer buyers in the market primarily due to higher interest rates.
Team Kalia sold a Brampton detached home this week at 99.55% of the asking price and within 5 days of listing. The point is that however tight the market might be, there are always committed Buyers who will be drawn to properties that show well and are priced well.
