The February 2023 housing sales figures have been released and the GTA real estate marketplace remains stable due to a constrained supply and stable demand.
The Toronto Regional Real Estate Board (TRREB) recorded 4,783 residential transactions during February, which is 47% lower than the pace set last February when interest rates were at record low levels. Year over year, new listings are down by 40.9%, helping to offset the lower demand created by higher mortgage rates.
 
The average price within the GTA during February 2023 was $1,095,617 which is 17.9% lower compared to the average last year during February. This figure is slightly lower than the average sale price set in December. As buyers adjust to higher lending rates, they are forced to spend less, resulting in a lower average sale price being recorded. According to an Ipsos poll, those wishing to buy a house or condo has increased. Qualifying for a mortgage is more difficult when rates are high and for those who are pre-qualified, many buyers face competing offers when they try to purchase a lower-priced house.
 
Within Durham Region, TRREB reported a year end total of 601 residential real estate transactions during February 2023, which is 46% lower than the record setting sales level achieved during the same month last year. The average sale price of a residential resale property within Durham Region during February was $888,448, which is modestly higher than the average recorded in both January and December.
 
Within Durham Region, the tight supply is contributing to multiple offers on many listings. Its is very common to see MLS listings in which the seller’s are holding offers until a specific date.
 
As we enter the spring market, any increase in the number of new listings will likely be absorbed by the pent-up demand, resulting in higher sales volume. Looking toward the last few months of the year, if interest rates begin to decline, sales will surely increase.
Ownership of real estate is driven by demand and the GTA remains the number one location for newcomers to Canada.