May 2021 Toronto Real Estate Market Report
New listings are down month over month, which means there is less inventory. The Days on Market (DOM) is still an incredibly low 10 days, and the average selling price is up 1.6%. All signs of an ongoing seller’s market.
In the City of Toronto, the average selling price came in marginally higher at $1,108,453 represents a 1.6% increase over last month.
It is also worth noting that the higher end of the market ($2,000,000+) continues to be healthy, despite a 9% decrease since last month.
In May, condominium apartment sales were down 17.4% but the average selling price was up 3.6%.
Comparing year-over-year figures is still distorted because of the COVID-19 restrictions in 2020. Normally, May is the strongest selling month of the year for real estate. May 2021 went against this trend. This year March has been the strongest selling month with 15,646 properties sold. The number of properties sold in May was down 47% over March 2021. While the number of properties sold is down significantly due to fewer new listings, the average selling prices are up across the board. Demand is still strong in all parts of the GTA for both low rise and high-rise housing stock. This is due to confidence in economic recovery and low borrowing costs. The pullback in the number of sales in the past couple of months is likely due to the absence of population growth experienced in previous years. The low average of 10 days on market for sales shows that buyers are still actively looking to purchase and competition is widespread and not confined to the downtown core.