Tag Archives: new home market

GTA new home market sees increased activity in June

GTA new home market sees increased activity in June

Latest News


GTA new home market sees increased activity in June

The GTA new home market began to see more activity in June, following two months of historically slow sales due to the pandemic, according to the Building Industry and Land Development Association (BILD).

Plane flys over the city (Building signs are removed)
Plane flys over the city (Building signs are removed)

Sales of new single-family homes, accounting for 1,160 of the total of 1,904 new homes sold, were the highest for June since 2016, though still 12 per cent below the 10-year average, according to Altus Group, BILD’s official source for new home market intelligence. Single-family homes include detached, linked, and semi-detached houses and townhouses (excluding stacked townhouses).

Sales numbers for new condominium units, including units in low-, mid- and highrise buildings, stacked townhouses and lofts, at 744 units sold, were up compared to April and May, but still down 73 per cent from June 2019 and 70 per cent below the 10-year average.

“The June new home sales numbers are encouraging, though much remains to be seen as the GTA re-opens and begins recovery,” says David Wilkes, BILD president and CEO. “Now is the time to implement what we learned about facilitating the delivery of housing during the pandemic, to address our long-standing housing supply and affordability challenge while stimulating the local economy. Our industry is working with all three levels of government to help achieve these goals.”

“Single-family demand recovered more quickly as buyers returned and new supply started to come back into the market,” adds Matthew Boukall, Altus Group’s vice-president, Data Solutions. “Given the challenges around COVID-19 restrictions, we’ve seen developers adopt new strategies to reach consumers and have seen success in the lower density segments.”

The benchmark prices for both new condominium units and new single-family homes increased in June compared to the previous month. New condos rose to $999,228, up 24.2 per cent over the last 12 months. New single-family homes, meanwhile, increased in price 3.9 per cent over the last 12 months to $1.14 million.


SHARE  

Featured Products


New home sales

GTA new home market quiet in May

Latest News


GTA new home market quiet in May

The GTA new home market saw another slow month in May, thanks largely to the impact of the pandemic, according to the Building Industry and Land Development Association (BILD).

New home sales

With 866 new homes sold, it was the lowest May for total new home sales since Altus Group, BILD’s official source for new home market intelligence, began tracking in 2000. May’s total new home sales were down 81 per cent from May 2019, and 76 per cent below the 10-year average.

Single-family homes, including detached, linked and semi-detached houses and townhouses (excluding stacked townhouses), accounted for 438 new home sales, down 55 per cent from last May and 68 per cent below the 10-year average. Sales of new condominium units, including units in low-, medium- and highrise buildings, stacked townhouses and loft units, at 428 units sold, were down 88 per cent from May 2019 and 80 per cent below the 10-year average.

“The fact that we have not seen much new supply brought to market in the last few months is not surprising, but it is concerning, given our region’s ongoing housing shortage,” says David Wilkes, BILD president and CEO. “An economic impact report we released with Altus (recently) shows that construction delays due to the pandemic won’t just affect housing supply but will also have fiscal implications, including a loss or delay of some $850 million in government revenues. All levels of government must work together to remove barriers to the renewal of construction activity that will help kick-start our economy.”

“Two months into the COVID-19 crisis, we are continuing to see the impact on available new home inventory numbers, with the number of new units brought to market in April and May reaching unprecedented low levels,” adds Matthew Boukall, Altus Group’s vice-president, Data Solutions. “Looking back at the market activity following the SARS outbreak in 2003, the industry will likely experience more months of disruptions to available inventory and sales.”

The benchmark price for new condo apartments in May was $985,436, up 26.4 per cent over the last 12 months; the benchmark price for new single-family homes was $1.1 million, which was even over the last 12 months.


SHARE  

Featured Products


GTA new home market understandably slow in April

GTA new home market understandably slow in April

Latest News


GTA new home market understandably slow in April

The GTA new home market saw record low new home sales numbers in April, according to the Building Industry and Land Development Association (BILD).

It was the lowest April for total new home sales, as well as single-family and condominium unit sales, since Altus Group, BILD’s official source for new home market intelligence, started tracking in 2000.

“As we expected, the April new home sales numbers reflect the impact of the COVID-19 pandemic on the GTA economy,” says David Wilkes, BILD president and CEO. “The good news is, the residential and commercial building and development industry, along with the professional renovations industry, is positioned to play a significant role in the recovery of our region and Ontario. In the coming weeks, we’ll be putting forward recommendations for all three levels of government that can accelerate the healing of our economy.”

A total of 771 new homes was sold in April, down 80 per cent from April 2019 and 78 per cent below the 10-year average. Single-family homes, including detached, linked and semi-detached houses and townhouses (excluding stacked townhouses), accounted for 301 new home sales, down 62 per cent from last April and 79 per cent below the 10-year average.

Sales of new condominium suites, including units in low-, medium- and highrise buildings, stacked townhouses and loft units, at 470 units sold, were down 85 per cent from April 2019 and 78 per cent below the 10-year average.

“The plunge in new home sales in April came as both builders and potential buyers stepped back from the heated activity of the first quarter, adjusting to the new reality ushered in by COVID-19,” says Patricia Arsenault, Altus Group’s executive vice-president, Data Solutions. “Most planned new project launches were put on hold, sales programs for existing projects moved to virtual or by-appointment-only models, and short-term homebuying plans were disrupted by employment uncertainty, as well as the challenges of stay-at-home routines.”

Benchmark prices for both new condominium apartments and new single-family homes increased slightly in April, compared to the previous month. The benchmark price for new condo units was $984,369, up 29.8 per cent over the last 12 months. The benchmark price for new single-family homes was $1.11 million, down 0.2 per cent over the last 12 months.


SHARE  

Featured Products


BILD February new home stats

GTA new home sales strong in February

Latest News


GTA new home sales strong in February

In what might be the last surge for a while, GTA new home sales were exceptionally strong in February, according to the Building Industry and Land Development Association (BILD).

BILD February new home stats

There were 4,665 total new home sales in February 2020, which was up 211 per cent from February 2019 and 57 per cent above the 10-year average, according to Altus Group, BILD’s official source for new home market intelligence. It was the highest number of new homes sold in February since 2002 and the third highest in the past 40 years.

Single-family surge

It was also the strongest February since 2004 for sales of new single-family homes, including detached, linked and semi-detached houses and townhouses (excluding stacked townhouses). With 2,247 new single-family homes sold, sales were up 228 per cent from last February and 44 per cent above the 10-year average.

Sales of new condominium apartments, including units in low-, medium- and highrise buildings, stacked townhouses and loft units, at 2,418 units sold, were up 197 per cent from February 2019 and 48 per cent above the 10-year average. It was the second strongest February of the past 40 years for new condominium apartment sales, after the record high of February 2017.

February new home sales by municipality

February 2020

Condominium units

Single-family homes

Total

Region

2020

2019

2018

2020

2019

2018

2020

2019

2018

Durham

89

21

4

489

97

49

578

118

53

Halton

227

22

46

380

275

113

607

297

159

Peel

545

127

103

289

193

35

834

320

138

Toronto

1,300

587

1,050

10

4

6

1,310

591

1,056

York

257

57

641

1,079

117

55

1,336

174

696

GTA

2,418

814

1,844

2,247

686

258

4,665

1,500

2,102

 Source: Altus Group

“Following on a month of strong new home sales in February, our industry and our customers are facing a time of challenges and uncertainty due to COVID-19,” says David Wilkes, BILD president and CEO. “We are working diligently to coordinate responses with provincial and municipal authorities, protect workers and customers and ensure that we continue to fulfil our responsibilities to new-home buyers. One of those responsibilities is building enough homes to top up depleted inventory and ensure our region’s new home supply keeps up with demand.”

Pent-up demand

“Prior to the uncertainty due to the COVID-19 situation, the new-home sector in the GTA was on track for a strong sales performance in 2020,” adds Patricia Arsenault, Altus Group’s executive vice-president, Data Solutions. “Low mortgage rates were triggering the release of pent-up demand that had been building on the back of strong employment and population growth, which helped boost February sales.”

In February, the benchmark price for new condo units was $961,268, which was up 21.3 per cent over the last 12 months, and the benchmark price for new single-family homes was $1.09 million, down 2.2 per cent over the last 12 months.

RELATED READING

GTA resale sales see drastic drop in March due to COVID-19

GTA home price growth to hit 10 per cent this year: TRREB

Get ready for a hot market in the GTA this spring

 

SHARE  

Featured Products


GTA_new_home_jun2019_fi

GTA new home sales continue stronger upward trend in April

Latest News


GTA new home sales continue stronger upward trend in April

The GTA new home market saw continued momentum in April, as prices remained relatively flat and condominium inventory increased, according to the Building Industry and Land Development Association (BILD).

Total new home sales, with 3,853 new homes sold, were up 123 per cent from last year, and about even with the 10-year average, according to Altus Group, BILD’s official source for new home market intelligence.

Single-family growth

There were 800 new single-family homes sold in April, including detached, linked and semi-detached houses and townhouses, up from last April’s low of 443, but still 50 per cent below the 10-year average. This is the sixth month in a row that new single-family home sales have increased year-over-year. Sales of new condominium apartments in low-, medium- and highrise buildings, stacked townhouses and loft units, with 3,053 units sold, were up 137 per cent from April 2018 and 37 per cent above the 10-year average.

“The last two months have seen stronger new home and condominium sales in the GTA after a sub-par April in 2018,” says David Wilkes, BILD president and CEO. “There seems to be a resiliency in the market as new-home buyers are coming off the sidelines.”

“Both builders and buyers stepped up their game in the new condominium apartment market in April,” adds Patricia Arsenault, Altus Group’s executive vice-president, Data Solutions. “The number of units in new projects launched, and the number of sales, were well above the April average of the past 10 years. While it is still too early to call the market as being on the upswing, the stronger showing in April is encouraging.”

Price growth

The benchmark prices of both single-family homes and condominium apartments moderated slightly compared to the previous month. The benchmark price of new single-family homes was $1.12 million, up slightly at 0.3 per cent over the last 12 months, while the benchmark price of new condominium apartments was $758,585, up 2.5 per cent over the last 12 months.

Remaining inventory in April included 13,707 condominium apartment units and 4,580 single-family homes. Remaining inventory includes units in preconstruction projects, in projects currently under construction and in completed buildings.

RELATED READING

GTA new home market shows encouraging signs in March

GTA new home sales begin 2019 on a positive note

 

SHARE  

Featured Products


CL June 19 News BILD

GTA new home market shows encouraging signs in March

Latest News


GTA new home market shows encouraging signs in March

CL June 19 News BILD

The GTA new home market continued to show some encouraging signs in March, according to the Building Industry and Land Development Association (BILD).

Total new home sales, with 2,314 new homes sold, were up 20 per cent from last year, though still 36 per cent below the 10-year average, according to Altus Group, BILD’s official source for new home market intelligence. There were 886 new single-family homes sold in March, including detached, linked and semi-detached houses and townhouses, up from last March’s low of 295, but still 38 per cent below the 10-year average. This is the fifth month in a row that new single-family home sales have increased year-over-year.Sales of new condominium units in low-, medium- and highrise buildings, stacked townhouses and loft units, with 1,428 units sold, were down 13 per cent from March 2018 and 34 per cent below the 10-year average.

Broader availability

“The desire to own a new single-family home never went away, but many would-be buyers have been taking a wait-and-see approach in the past two years,” says Patricia Arsenault, Altus Group’s executive vice-president, Data Solutions. “While the affordability of single-family homes in general remains a challenge, the broader range of product at more favourable price points that is starting to emerge has attracted some of these buyers into the market.”

The benchmark prices of both single-family homes and condominium apartments moderated slightly compared to the previous month. The benchmark price of new single-family homes was $1.12 million, down 7.6 per cent over the last 12 months, while the benchmark price of new condominium units was $780,839, up 5.1 per cent over the last 12 months.

Affordability still an issue

“Despite the recent slight moderation in new home prices, affordability is an issue for many people in the GTA, as we have learned from our Building Answers campaign, which encourages residents to ask questions about development,” says David Wilkes, BILD president and CEO. “Affordability will continue to be a challenge until structural remedies are introduced to fix the GTA’s housing supply shortage. It is clear that we all – industry, government and public – need to look for ways to build more housing faster and to mitigate unnecessary delays and costs on new housing.”

Remaining inventory in March included 11,744 condominium units and 5,054 single-family homes. Remaining inventory includes units in preconstruction projects, in projects currently under construction and in completed buildings.

 

March new home sales by municipality

Condominium units Single-family homes Total
Region 2019 2018 2017 2019 2018 2017 2019 2018 2017
Durham 35 14 188 173 66 209 208 80 397
Halton 70 64 110 107 59 296 177 123 406
Peel 84 99 197 307 126 366 391 225 563
Toronto 953 1,081 3,628 88 5 93 1,041 1,086 3,721
York 286 382 442 211 39 372 497 421 814
GTA 1,428 1,640 4,565 886 295 1,336 2,314 1,935 5,901

Source: Altus Group

RELATED READING

GTA builders launch public awareness campaign

New single-family home sales in the GTA jump in February

Development in the GTA

 

 

 

SHARE  

Featured Products


New home market

GTA new home market back to typical sales and openings levels in November

Latest News


GTA new home market back to typical sales and openings levels in November

New home market

The GTA new home market saw more typical activity levels in November, both in new home sales and new project openings, after a relatively strong October, the Building Industry and Land Development Association (BILD) reports.

There were 2,823 new homes sold in November, according to Altus Group, BILD’s official source for new-home market intelligence. Condominium apartments in low-, medium- and highrise buildings, stacked townhouses and loft units accounted for 2,454 new home sales in November, down 24 per cent from November 2017, but only sixper cent less than the 10-year average. Single-family home sales, with 369 detached, linked and semi-detached houses and townhouses (excluding stacked townhouses) sold, were up eight per cent from last November but down 71 per cent from the 10-year average.

Remaining inventory increased month over month, to 16,797 units, comprised of 11,254 condo apartment units and 5,543 single-family units. Remaining inventory includes units in preconstruction projects, in projects currently under construction, and in completed buildings.

Strong finish

“The condominium apartment market in the GTA is finishing off the year on a stronger note than it started,” says Patricia Arsenault, Altus Group’s executive vice-president, Data Solutions. “Both builders and buyers have re-engaged in stronger numbers in recent months, signalling that the downturn that followed record activity last year may be coming to an end.”

The benchmark price for both condo apartments and single-family homes increased slightly in November compared to the previous month. The benchmark price for condo apartments was $786,602, which was up 11.9 per cent over the last 12 months. The benchmark price for single-family homes was $1,150,823, down 5.9 per cent over the last 12 months.

Although the housing market continued to show signs of recovery in November, it will continue to operate below capacity until fundamental issues that are restricting supply and demand are addressed through government policy, according to David Wilkes, BILD president and CEO.

No more talk

“The time for talk is done and our region needs action now to ensure we build the more than 50,000 new homes needed annually to support the GTA’s growing population,” says Wilkes. “Our industry is encouraged by the provincial government’s commitment to unlocking supply. We will continue to call on municipal governments to expedite approvals of new developments, and on the federal government to undo the negative effects of the outdated stress test on consumers’ ability to purchase homes.”

 

November new home sales by municipality

November 2018 Condominium Apartments Single-Family Total
Region 2018 2017 2016 2018 2017 2016 2018 2017 2016
Durham 404 16 57 54 75 171 458 91 228
Halton 101 204 114 107 88 415 208 292 529
Peel 736 181 231 52 61 132 788 242 363
Toronto 1,124 2,425 2,678 17 21 110 1,141 2,446 2,788
York 89 387 317 139 97 837 228 484 1,154
GTA 2,454 3,213 3,397 369 342 1,665 2,823 3,555 5,062

 Source: Altus Group

RELATED READING

GTA new home market gains further momentum in October

GTA moving into balanced market for 2019

GTA new home market shows some improvement in September

 

SHARE  

Featured Products


GTA New home market

GTA new home market quiet in August

Latest News


GTA new home market quiet in August

GTA New home market

August was a quiet month for the GTA new home market, as buyers waited on the sidelines, according to the Building Industry and Land Development Association (BILD).

There were 974 total new home sales in August, according to Altus Group, BILD’s official source for new home market intelligence. Single-family home sales, with 171 detached, linked and semi-detached houses and townhouses (excluding stacked townhouses) sold, were up 50 per cent from last August but down 80 per cent from the 10-year average. Condominiums in low, medium and highrise buildings, stacked townhouses and loft units accounted for 803 new home sales, down one per cent from August 2017 and down 28 per cent from the 10-year average.

August’s sales numbers should not be interpreted as a sign that there is a shortage of interested buyers in the GTA, according to Patricia Arsenault, Altus Group’s executive vice-president, Data Solutions. “Pent-up demand is forming, which suggests we should see sales start to firm up this fall.”

WAIT AND SEE

Many potential new-home buyers are taking a wait-and-see approach due to the effects of government interventions to cool the housing market and concerns about the future direction of the economy, says David Wilkes, BILD president and CEO. “Once the market adjusts and more people start looking for homes, our region’s short supply of housing will mean that affordability will continue to be a challenge for many new-home buyers.”

In August, the benchmark price of new condominiums rose to $784,512, up 21.8 per cent over the last 12 months. The benchmark price of new single-family homes was $1.12 million, down 12.4 per cent over the last year.

With only two projects opening in August, the remaining new home inventory decreased to 13,619 units, comprising 8,842 condo units and 4,777 single-family units. Remaining inventory includes units in preconstruction projects, in projects currently under construction, and in completed buildings.

SUPPLY ISSUE

To truly solve the challenges facing the GTA housing market, Wilkes says, governments need to address the supply side of the equation. “Municipal governments, in particular, can make a big difference. Ahead of the municipal elections in the GTA, BILD has been talking to municipal leaders and residents about straightforward steps that municipalities can take to increase housing supply, including making sure that government charges on new homes are fair, funding and building critical infrastructure, cutting red tape and speeding up building permits and inspections.

RELATED STORIES

GTA housing market correction coming to an end, ReMax says

GTA luxury market set for a strong fall season

SHARE  

Featured Products


GTA new home market continues recent trends

GTA new home market continues recent trends

Latest News


GTA new home market continues recent trends

Benchmark price for available new single-family homes in January was $1,229,454, which was 19.6 per cent above January 2017.

Sales of new single-family homes in the GTA hit their lowest level for January since before 2000, the Building Industry and Land Development Association (BILD) announced last week.

Single-family homes, including detached, link and semi-detached houses and townhouses (excluding stacked townhouses) represented only 365 units out of the 1,251 new homes sold in January, according to Altus Group, BILD’s official source for new home market intelligence.

“The January data continues a trend we have seen in the GTA,” said David Wilkes, BILD president and CEO. “Our industry wants to meet consumer demand in terms of the mix and type of homes available, but we are constrained by government policy. Affordability and the lack of supply of single-family housing remain a challenge.”

In the meantime, condominium apartments in low, medium and highrise buildings, stacked townhouses and loft units accounted for 70.8 per cent of new home sales, with 886 units sold.

“New condominium apartment sales in January were in line with typical levels for this time of year,” said Patricia Arsenault, Altus Group’s executive vice president of Research Consulting Services. “New condos remain an attractive option for end-user buyers looking for more affordable homes, as well as for investors who are ensuring needed new rental supply continues to flow into a tight rental market.”

In January, the benchmark price for available new single-family homes was $1,229,454, which was 19.6 per cent above January 2017. The benchmark price for condominium apartments was $714,430, which was 40.8 per cent above last January.

The new home market saw a very slight increase in supply in January, to 11,750 units, from 11,397 units in December. This is still well below what is considered a healthy level. Supply of new housing is typically measured by the number of new homes available for purchase in builders’ inventories at the end of the month and includes units in pre-construction, under construction and completed projects. A healthy new home market should have nine to 12 months worth of inventory and right now inventory is at about three to four months, based on the pace of sales in the past 12 months.

“The GTA is expected to grow to 9.7 million people by 2041,” Wilkes said. “How are we going to house them? All levels of government and the building industry have a role to play in increasing housing supply and we need to work together to simplify approval processes, update zoning by-laws and service developable land so we can bring more homes to market.”


SHARE  

Featured Products