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The average sale price in Greater Toronto housing market decreased by 5.9 per cent between 2022 and 2023 (from $1,203,916 in 2022 to $1,132,681 in 2023), while the number of sales decreased by 13.5 per cent (from 67,452 in 2022 to 58,367 in 2023). In the GTA, the market so far in 2023 has been a seller’s market. Looking ahead, it will transition to more of a buyers/balanced market depending on the specific neighbourhood. In 2024, average residential sale prices are also anticipated to decrease by three per cent, while the number of sales will likely increase by 10.4 per cent.
The top three neighbourhoods in GTA are Durham region due to affordability and value; Markham/Richmond Hill due to improved affordability; and Downtown Toronto for its access to public transit and walkability.
When it comes to new construction trends, the region is experiencing a decrease in start for condo apartment units; smaller condo units with an even greater focus on location and amenities such as patio, barbecues, fitness facilities, etc.; as well as construction costs that are exceeding current market values.
“Not unlike other regions across the country, inflation and the interest rate environment has had the largest impact on homeowners across the GTA, and this is expected to remain prevalent into 2024, says Cameron Forbes, Chief Operating Officer and General Manager/Broker, RE/MAX Realtron Realty Inc. “This has forced many buyers and sellers’ to take a ‘wait-and-see’ approach in the latter half of 2023. Given this, activity is poised to increase through the year with the anticipated plateauing and reduction in interest rates.”
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About the RE/MAX Network
As one of the leading global real estate franchisors, RE/MAX, LLC is a subsidiary of RE/MAX Holdings (NYSE: RMAX) with more than 140,000 agents in almost 9,000 offices with a presence in more than 110 countries and territories. RE/MAX Canada refers to RE/MAX of Western Canada (1998), LLC and RE/MAX Ontario-Atlantic Canada, Inc., and RE/MAX Promotions, Inc., each of which are affiliates of RE/MAX, LLC. Nobody in the world sells more real estate than RE/MAX, as measured by residential transaction sides.
RE/MAX was founded in 1973 by Dave and Gail Liniger, with an innovative, entrepreneurial culture affording its agents and franchisees the flexibility to operate their businesses with great independence. RE/MAX agents have lived, worked and served in their local communities for decades, raising millions of dollars every year for Children’s Miracle Network Hospitals® and other charities. To learn more about RE/MAX, to search home listings or find an agent in your community, please visit remax.ca. For the latest news from RE/MAX Canada, please visit blog.remax.ca.
Forward looking statements
This report includes “forward-looking statements” within the meaning of the “safe harbour” provisions of the United States Private Securities Litigation Reform Act of 1995. Forward-looking statements may be identified by the use of words such as “believe,” “intend,” “expect,” “estimate,” “plan,” “outlook,” “project,” and other similar words and expressions that predict or indicate future events or trends that are not statements of historical matters. These forward-looking statements include statements regarding housing market conditions and the Company’s results of operations, performance and growth. Forward-looking statements should not be read as guarantees of future performance or results. Forward-looking statements are based on information available at the time those statements are made and/or management’s good faith belief as of that time with respect to future events and are subject to risks and uncertainties that could cause actual performance or results to differ materially from those expressed in or suggested by the forward-looking statements. These risks and uncertainties include (1) the global COVID-19 pandemic, which has impacted the Company and continues to pose significant and widespread risks to the Company’s business, the Company’s ability to successfully close the anticipated reacquisition and to integrate the reacquired regions into its business, (3) changes in the real estate market or interest rates and availability of financing, (4) changes in business and economic activity in general, (5) the Company’s ability to attract and retain quality franchisees, (6) the Company’s franchisees’ ability to recruit and retain real estate agents and mortgage loan originators, (7) changes in laws and regulations, (8) the Company’s ability to enhance, market, and protect the RE/MAX and Motto Mortgage brands, (9) the Company’s ability to implement its technology initiatives, and (10) fluctuations in foreign currency exchange rates, and those risks and uncertainties described in the sections entitled “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations” in the most recent Annual Report on Form 10-K and Quarterly Reports on Form 10-Q filed with the Securities and Exchange Commission (“SEC”) and similar disclosures in subsequent periodic and current reports filed with the SEC, which are available on the investor relations page of the Company’s website at www.remax.com and on the SEC website at www.sec.gov. Readers are cautioned not to place undue reliance on forward-looking statements, which speak only as of the date on which they are made. Except as required by law, the Company does not intend, and undertakes no duty, to update this information to reflect future events or circumstances.