Greater Toronto Area, August 24, 2022 – In July, the GTA new home market saw strong condominium apartment sales and all-time low single-family home sales, with shrinking inventories and rising benchmark prices, the Building Industry and Land Development Association announced today.
Sales of new condominium apartments, including units in low, medium and high-rise buildings, stacked townhouses and loft units, with 1,777 units sold, were up 5 per cent from July 2021 and 3 per cent above the 10-year average, according to Altus Group*, BILD’s official source for new home market intelligence.
Single-family homes, including detached, linked, and semi-detached houses and townhouses (excluding stacked townhouses), accounted for 97 units sold, down 88 per cent from last July and 88 per cent below the 10-year average. It was the first time that monthly sales of new single-family homes dipped below 100 since Altus Group started tracking in 2000.
“New condominium apartment sales posted a robust July, buoyed by buyer resiliency and stable prices,” said Edward Jegg, Research Manager at Altus Group. “In contrast, new single-family sales posted a record low in the face of slowing demand and a shortage of inventory.”
With very few new project openings, total new home remaining inventory decreased compared to the previous month, to 10,848 units, comprised of 9,311 condominium apartment units and 1,537 single-family lots, representing 3.4 months and 2.4 months of inventory respectively. A balanced market would have 9-12 months of inventory.
The benchmark price for new condominium apartments in July was $1,191,716, which was up 9.2 per cent over the last 12 months and the benchmark price for new single-family homes was $1,933,912, which was up 27.4 per cent over the last 12 months.
“As BILD has said all along, the long-term demand for new homes is not going anywhere, despite short-term market trends,” said Dave Wilkes, BILD President & CEO. “We have a monumental challenge ahead of us: to build the 1.5 million new homes Ontario needs to address the housing crisis, which is centred on the GTA. To help municipal and provincial governments take steps toward this ambitious target, BILD and OHBA recently released a five-point plan for bringing balance to the housing market. In the lead-up to the municipal election on October 24, all residents of Ontario, especially those in the GTA, need to ask their candidates how they will champion concrete steps to address the housing challenge.”
With more than 1,300 member companies, BILD is the voice of the home building, land development and professional renovation industry in the Greater Toronto Area. The building and renovation industry provides more than 231,000 jobs in the region and $26.9 billion in investment value. BILD is proudly affiliated with the Ontario and Canadian Home Builders’ Associations.
For additional information or to schedule an interview, contact Justin Sherwood at firstname.lastname@example.org or 416-371-6005.
*Altus Group should be credited as BILD’s official source of new home market intelligence.