September 2024 brought renewed optimism to the Greater Toronto Area (GTA) real estate market as home sales rose 8.5% compared to last year, reaching 4,996 transactions. Buyers are starting to benefit from the lower interest rates and improved affordability. New listings also climbed by 10.5%, resulting in a better-supplied market with more choices for buyers.
Pricing Trends
The average selling price across the GTA was $1,107,291, a 1% decrease from $1,118,215 in September 2023. While prices edged lower year-over-year, they were relatively stable month-to-month, showing resilience despite the increase in inventory.
Here’s a closer look at the breakdown by housing type:
- Detached Homes: $1,423,056, down 1.1% from last year.
- Semi-detached Homes: $1,090,749, down 0.4%.
- Townhomes: $904,200, down 4%—a noticeable decline, making this segment an appealing option for buyers.
- Condo Units: $682,543, down 3.6%, creating opportunities for first-time buyers and investors to enter the market.
Sales Volume and Inventory
Sales across all major home types experienced positive growth:
- Detached Homes: 2,354 sales, up 10.5%.
- Semi-detached Homes: 446 sales, up 12.6%.
- Townhomes: 840 sales, up 14.3%.
- Condo Units: 1,312 sales, up 0.8%.
The increase in sales, particularly for detached and semi-detached homes, signals growing buyer confidence.
However, condo sales remain relatively flat, indicating that some buyers may still be waiting for more favorable conditions.
New listings surged to 18,089—up 10.5% year-over-year—outpacing the growth in sales and keeping inventory levels high. This trend has contributed to stable or declining prices, giving buyers more room for negotiation.
Time on Market
The average property took 43 days to sell, compared to 30 days a year ago, marking a 43.3% increase. This reflects a more balanced market where buyers are taking their time to evaluate options, while sellers may need to adjust expectations to align with current conditions.
Impact of Recent Interest Rate Cuts
The two recent rate cuts by the Bank of Canada have already started to influence the market, with borrowing costs trending lower. An additional cut expected in October is likely to spur more buyers into action, further boosting demand as we head into the fall market.
Market Predictions
The combination of lower interest rates and improved affordability is expected to drive more first-time buyers and investors into the market. However, given the elevated inventory, price growth will likely remain moderate until listings are absorbed, leading to a more balanced recovery phase in early 2025.
Team McDadi’s Expertise: Navigating a Changing Market
With more listings and increased buyer competition, making the right move in today’s real estate market requires expertise. Team McDadi’s strong relationships with top professionals, including mortgage brokers and real estate lawyers, ensures you have every advantage when buying or selling. Whether you’re looking for your first home or considering an investment, we offer personalized guidance tailored to your needs.
Get Started with Team McDadi
- Ready to Buy? Explore our current listings here.
- Planning to Sell? Get your complimentary home evaluation here.
By staying on top of market trends, Team McDadi helps you navigate this ever-changing landscape, empowering you to buy and sell with confidence.