The Greater Toronto Area (GTA) housing market has enjoyed immense activity. But has the growth been equal across the region? In recent years, the Durham Region housing market has joined the boom taking place in neighbouring Toronto. The sizzling conditions have become more pronounced during the COVID-19 public health crisis, with stellar price growth and exceptional sales activity occurring in Ajax, Oshawa, Whitby and other Durham municipalities.
Be it low interest rates or homebuyers leaving the downtown core, the area just east of North America’s fourth-largest city has witnessed exceptional gains over the last decade. But how did Durham perform last year? Let’s dive into the statistics to find out!
The Durham Region Housing Market Outperforms Most GTA Markets
According to the Durham Region Association of REALTORS® (DRAR), residential property sales tumbled 33.7 per cent month-over-month in December, totalling 671 units. The average selling price in the Durham housing market rose 3.4 per cent, topping $1.033 million to end the year.
The months of inventory sat at 0.2, which represents the number of months it would take to exhaust current inventory at the present rate of sales activity. Days on market numbered just nine.
Despite the tepid slowdown in December, 2021 was a record-breaking year, with home sales soaring 13.9 per cent. The MLS Home Price Index (HPI) composite benchmark price advanced 42.33 per cent to more than $1.002 million, the highest rate in the GTA.
Supply in the Durham housing industry has been one of the chief factors for the explosive growth.
New residential listings dropped 45.9 per cent month-over-month in December, totalling 565 units. Active listings also fell 58.2 per cent month-over-month, to 152 homes. New housing construction has also eased among some Durham Region housing markets. Canada Mortgage and Housing Corporation (CMHC) reported housing starts slipped 19.11 per cent year-over-year to 182 units in November.
“We generally see a decline in transactions as we enter the winter months, especially with the holidays. The 2021 record breaking sales in Durham are a true testament to the strength of the local economy and desirability to settle in the region,” said DRAR President Meredith Kennedy in a news release. “The strong demand during the summer market made for a strong push for Durham’s housing market and record residential sales were reported in almost every month.”
Ajax to Scugog: A Peek at the Durham Real Estate Market
So, how did the broader Durham Region real estate market perform in December? Here is a snapshot of how the different municipalities performed to close out 2021 on a year-over-year basis.
- Average Selling Price: +30.2% to $1.089 million
- Detached: +32.9% to $1.228 million
- Townhouse: +30.9% to $989,931
- Condo: +24.4% to $543,833
- Residential Sales: -30.1% to 86 units
- Active Listings: -34.6% to 17 units
- Days on Market: -20% to 8
- Average Selling Price: +38.8% to $1.02 million
- Detached: +40.8% to $1.108 million
- Townhouse: +36.3% to $887,633
- Condo: +28.1% to $568,250
- Residential Sales: -2.4% to 127 units
- Active Listings: -45.1% to 28 units
- Days on Market: -50% to 7
- Average Selling Price: +40.7% to $913,000
- Detached: +43% to $1.035 million
- Townhouse: +30.4% to $828,643
- Condo: +46.5% to $418,080
- Residential Sales: -8.9% to 194 units
- Active Listings: -48.6% to 37 units
- Days on Market: -10% to 9
- Average Selling Price: +15.6% to $1.038 million
- Detached: +19% to $1.351 million
- Townhouse: +38.1% to $1.031 million
- Condo: +23.4% to $611,833
- Residential Sales: 021.4% to 92 units
- Active Listings: -45% to 22 units
- Days on Market: -40% to 9
- Average Selling Price: $1.02 million
- Detached: +14.4% to $1.043 million
- Townhouse: $908,323
- Condo: N/A
- Residential Sales: -22.7% to 17 units
- Active Listings: -47.6% to 11 units
- Days on Market: -45.9% to 20
- Average Selling Price: +28.2% to $1.088 million
- Detached: +33.1% to $1.259 million
- Townhouse: +38.8% to $1.012 million
- Condo: +14.8% to $634,422
- Residential Sales: -5.9% to 127 units
- Active Listings: -62.9% to 13
- Days on Market: -30% to 7
Another Strong Year Ahead for Durham Real Estate?
With the Bank of Canada (BoC) widely expected to raise interest rates as early as March, and the federal government employing tighter mortgage standards, can the Canadian real estate market maintain its impressive streak of growth? In the Durham Region housing market, prices and sales are anticipated to remain strong in 2022.
According to the 2022 RE/MAX Canadian Housing Market Outlook report, Durham Region real estate prices are projected to climb seven per cent to a jaw-dropping $978,566, while sales growth is also expected to grow seven per cent. From Clarington to Oshawa to Whitby, being less than an hour outside of Toronto is proving to be beneficial for residents and sellers alike. Whether prospective homeowners will see some easing over the next 12 months or not remains to be seen.