Spring has sprung and with it the Toronto real estate market has finally begun to bloom again. While we are not seeing a return to the heady days of the pre-global financial crisis anytime soon, we are seeing basic market fundamentals of supply and demand taking shape resulting in numerous real estate transactions throughout Toronto. Real estate after all is bricks and mortar, it is basic shelter, and it is once again proving its staying power.
So what type of real estate is moving in Toronto and in what locations ? Well for starters let’s begin with the much maligned and often picked on condominium sector. Those predicting and waiting for this segment of the Toronto real estate market to bust have been disappointed thus far. In the downtown, midtown, and north Toronto markets in the central core where the Toronto condominium market is most prevalent there have been many hundreds of resales in the price range under $500,000. In the $500,000-$600,000 price range there have been 56 MLS sales to date this year. From $600,000 to $1,000,000 there have been another 61 sales reported. Even the $1,000,000 plus price range has recorded a respectable 11 sales with a leading number, five of these units, being sold in Yorkville.
The resale market for freehold houses in Toronto’s demand neighbourhoods has also been quite brisk of late particularly in the under $1,000,000 price range. The Beach/Leslieville neighbourhoods in Toronto’s east end feature an abundance of entry level housing and together have already combined for 130 sales with the highest Beach sale coming in at $1,390,000. The Leaside neighbourhood continues to produce brisk activity levels with 51 sales and a high price of $1,635,000. York Mills has recorded 50 sales thus far this year with a high mark of $2,845,000. Don Mills has seen 47 sales in 09’ with $785,000 being the highest price recorded. The ever popular High Park neighbourhood has seen 25 houses change hands while other stats from west-end neighbourhoods include 18 sales in Bloor West Village, 17 sales in Kingsway Park, 14 sales in Sunnylea and 10 sales in Swansea. Kingsway Park recorded the highest sale of the aforementioned west-end neighbourhoods with a $1,630,000 sale.
The always popular central core neighbourhoods from midtown to north Toronto have seen very brisk sales. Houses in these neighbourhoods may be taking a little longer to sell than in the past but they are still selling especially now as Sellers have lowered their expectations and are offering their properties for sale at very attractive prices not seen in the central core since at least 2006 or early 2007. Leading the way Davisville Village has recorded 29 sales in in 2009 with $1,185,000 being the highest price sale. This neighbourhood offers very affordable houses relative to the central core. Ledbury Park has attracted 15 sales, Wanless Park 14 sales, and Bedford Park 12 sales. The higher-end neighbourhoods have also seen some action as Rosedale has logged 11 sales and the same for neighbouring Moore Park. Forest Hill and the Annex have each had 10 sales, followed by 9 sales each in Lytton Park and in Yorkville, Chaplin Estates has recorded 8 sales, the Cricket Club has had 7 sales, Allenby 6 sales, and the venerable Lawrence Park has had 5 sales. Please note that the above sales are MLS sales only and do not include condominium sales.
As long as interest rates continue to remain at the current historic low levels the resale Toronto real estate market should continue to improve. Believe it or not we have even seen a few houses sell recently with multiple offers although these are the exception rather than the rule. Those with secure employment are viewing this market as an ideal time to move up in the market to something larger and more expensive. It will be interesting to see if the Toronto real estate market can build on the momentum seen in March. No one knows for sure but at least for now the news is not all doom and gloom and the Toronto real estate market is proving to be very resilient.
David Dunkelman is a Broker and ABR* with Royal Lepage R.E.S.Ltd/Johnston and Daniel Division. David is also the Author of “Your Guide to Toronto Neighbourhoods”. *ABR* The Accredited Buyer Representative (ABR®) designation is the benchmark of excellence in buyer representation. This coveted designation is awarded to real estate practitioners by the Real Estate BUYER’S AGENT Council (REBAC) of the National Association of REALTORS® who meet the specified educational and practical experience criteria.
