September 2020 Toronto Real Estate Market Report

We are running out of superlatives. September’s residential resale market performance was another record-breaking month, for the fourth consecutive month. 11,083 properties were reported sold; a 2.9% increase compared to the 10,775 properties sold a month earlier. Compared to September 2019, sales improved by 41.6%. There were 7,825 residential properties reported sold last year in the same month. September’s numbers are a continuation of the Toronto real estate marketplace delay in the missed Spring market. Days on Market (DOM) fell to 16 from an already incredibly low of 17 days.

Sales were up again on a year-over-year basis for all major home types, both in the City of Toronto and surrounding GTA regions. In September the average sale price for all properties sold in the greater Toronto area came in at $960,772, slightly more than August’s average price of $951,404, but a healthy 14% higher than September 2019’s average price of $843,115.

In the City of Toronto, the average sale price is even higher. It came in at $1,022,051. It is also worth noting that the higher end of the marketplace continued to be robust. In September 461 properties having a sale price of $2 million or more were sold. By comparison, only 248 properties in this category were reported sold last year, a healthy increase of 86%.

In September condominium sales were up 14.3% compared to last year. Sale prices also rose by 10% to $637,420 in the Greater Toronto area. In the City of Toronto’s central core, the average sale price was higher than last year at $762,262. It should be noted, however, that this number is down from $839,895 last month, a decrease of 9.2%.

Early October results indicate that the resale market will produce strong numbers once again this month. Sales recorded in the first week of October are up keeping pace with the same period in 2019.  Condominium sales have softened, down 40% in the first week of October over the same period last year. The statistics are starting to support anecdotal evidence of fewer condo showings. The increase in sales of detached properties of almost 30% and an increase of sales of semi-detached properties of almost 50%, provides contrast to condominium sales, which were up less than 7%. This trend is something for us to keep an eye on.

While the number of sales in the City of Toronto is 30% higher than last year at 3,500, the 905 regions are up over 50% higher. This points to what many have noticed, a drive to exit the core of the city (especially condominium apartments) in favour of ground-level homes with more green space. The fact that so many people can now work from home has probably accelerated this outward migration.