Q2 condo sales down 50 per cent from last year, but prices are up: TRREB

Q2 condo sales down 50 per cent from last year, but prices are up: TRREB

Q2 condo sales down 50 per cent from last year, but prices are up: TRREB

TORONTO — The Toronto Regional Real Estate Board says condominium apartment sales in the region have fallen by half since last year, with the average selling price is up.

The board says there were 3,459 condominium apartment sales in the second quarter, down almost 51 per cent from 7,024 sales in the same quarter last year.

The number of new condo listings fell 22 per cent to 8,717, from 11,114 new listings in the same quarter last year.

The average selling price for condos rose by about five per cent to reach $619,707 in the quarter, up from $589,622 in last year’s second quarter.

TRREB president Lisa Patel attributed the dip in sales and new listings to potential buyers holding off on purchases as COVID-19 spread across Canada.

She predicts condo sales will improve in the third quarter because the overall housing market was trending toward recovery in June.

Jason Mercer, TRREB’s chief market analyst, said the relationship between supply of listings and demand for sales in the condo market will be important to watch as the economy recovers. Investors could be tempted to offload their condos onto the market amid stricter regulations on short-term, Airbnb-style rentals, which in turn, could moderate prices.

“If economic recovery is sustained, the demand for condo apartments will improve,” said Mercer in a statement.

Mercer also said that “softer rental market conditions” may affect whether investors decide to sell their condo. A separate report released by TRREB on Friday said that fewer condo apartments were rented during the second quarter, compared to this time last year.

TRREB’s data said that there were 42 per cent more condo apartments listed for rent compared to the second quarter of 2019 — but 24.8 per cent fewer were actually rented.

“COVID-19 clearly impacted the demand for rental condominium apartments, due to restrictions on showing units and job losses,” said Patel, adding that rental listings are “far outstripping growth in rental transactions.”

Rent for a one-bedroom condo apartment in Toronto was $2,083 during the second quarter, down five per cent year-over-year.

“Increased choice led to more negotiating power for renters,” said Mercer.

— By Anita Balakrishnan in Toronto

This report by The Canadian Press was first published July 31, 2020.

The Canadian Press

Real Estate

Get local stories you won't find anywhere else right to your inbox.
Sign up here

Just Posted

Loki’s Car Club hosting its first annual holiday toy drive. File photo.
Loki’s Car Club hosting its first annual holiday toy drive

Local Wetaskiwin businesses set up as toy drive drop off locations.

SARS-CoV-2 virus particles, which causes COVID-19, emerge from the surface of cells isolated from a patient in the U.S. and cultured in a lab in a 2020 electron microscope image. THE CANADIAN PRESS/AP-HO, National Institute of Allergy and Infectious Diseases - Rocky Mountain Laboratories
Alberta now has 17,743 active cases of COVID-19

Province now has 17,743 active cases

A home on Montana First Nation was damaged by fire in the early hours on Dec. 2, 2020. (Chevi Rabbit/Submitted)
House fires on Montana Cree Nation under investigation

Two separate fires took place in the early hours of Dec. 2

File photo
City of Wetaskiwin launches Whistle-blower Program

Whistle-blower program acts as anonymous forum to hold local government accountable

Ten-month-old Aidan Deschamps poses for a photo with his parents Amanda Sully and Adam Deschamps in this undated handout photo. Ten-month-old Aidan Deschamps was the first baby in Canada to be diagnosed with spinal muscular atrophy through Ontario’s newborn screening program. The test was added to the program six days before he was born. THE CANADIAN PRESS/HO, Children’s Hospital Eastern Ontario *MANDATORY CREDIT*
First newborn tested for spinal muscular atrophy in Canada hits new milestones

‘If Aidan had been born any earlier or anywhere else our story would be quite different’

People line up at a COVID-19 assessment centre during the COVID-19 pandemic in Scarborough, Ont., on Wednesday, December 2, 2020. Toronto and Peel region continue to be in lockdown. THE CANADIAN PRESS/Nathan Denette
COVID-19 vaccine approval could be days away as pressures mount on health-care system

Many health officials in regions across the country have reported increasing pressures on hospitals

File Photo
Sylvan Lake Town Council squashes mask bylaw

The bylaw did not make it past first reading, after a 4-3 vote defeated the motion

A logo for Netflix on a remote control is seen in Portland, Ore.,Aug. 13, 2020. Experts in taxation and media say a plan announced Monday by the government will ultimately add to the cost of digital services and goods sold by foreign companies. THE CANADIAN PRESS/AP-Jenny Kane
‘Netflix tax’ for digital media likely to raise prices for consumers, experts say

The government says Canadian companies already collect those taxes when they make digital sales

Gaming content was big on YouTube in 2020. (Black Press Media files)
What did Canadians watch on Youtube during isolation? Workouts, bird feeders

Whether it was getting fit or ‘speaking moistly,’ Canadians had time to spare this year

A teacher places the finishing touches on the welcome sign at Hunter’s Glen Junior Public School which is part of the Toronto District School Board (TDSB) during the COVID-19 pandemic in Scarborough, Ont., on Sept. 14, 2020. THE CANADIAN PRESS/Nathan Denette
Hindsight 2020: How do you preserve a year many Canadians would rather forget?

Figuring out how to preserve the story of the pandemic poses a series of challenges

Team Manitoba celebrate after defeating Team Ontario to win the Scotties Tournament of Hearts in Moose Jaw, Sask., Sunday, Feb. 23, 2020. Curling Canada wants Calgary’s Canada Olympic Park to be a curling hub for the season’s top events. THE CANADIAN PRESS/Jonathan Hayward
Calgary facility set to become curling hub during pandemic

Curling Canada has provisional approval for Calgary’s hub-city concept from Alberta Health

Most Read