Jennifer English


04 April 2020
Jennifer English

Toronto real estate is 'holding its own' amid COVID-19

While this months numbers look to be telling the beginning of a story yet to unfold, Toronto real estate, always a stronghold, looks to be weathering the storm of these uncertain times.

Regardless of which article you read or news outlet you listen to, no one can predict, with 100% certainty, where the real estate market in Toronto will end up in the coming weeks and months. Looking over it's history, some conclusions can be looked to, but without a glass ball, its really only time that will tell the whole tale.

First Up

The Average Sale Price for all Property Types, BY Property Type, in the City of Toronto

As soon as I looked at the numbers it was clear this months update, (likely the same will be true for the next few months), needed to include month-to-month alongside year-over-year. Coronavirus really made it's presence felt in Toronto by mid-March and the burning question around real estate is "what has it's impact been on this asset class"?

From the year-over-year perspective Toronto real estate stayed on course with increased property values across all property types. Very similar in fact to the numbers we saw in February with percentage increases in the double digits. Month-to-month is the 'tell-all' of this tale and while the decreases are marginal, every property type did go down.

The other stats and what those numbers reveal

From Number of Sales to Number of Active Listings, the Sale Price to List Price Percentage, and Days on Market ...

What may come as a surprise, the increase in the number of sales, (something I think will change significantly when April's numbers get released). 

The first half of March was already moving at full-steam, and while Coronavirus gained more and more prominence by mid-month, there already existed intense demand, not only from buyers who had sold their current home and needed to buy their next one, but from those who wanted to buy, whether for the first-time, because they'd just moved to Toronto, or as an investment.

One of real estates most consistent markers this year has been a greater lack of inventory. The month of March proved to be no different. Detached, semi-detached, and condo apartments active listings and months of inventory all dropped year-over-year, though increased from February, (exactly what I'd expect heading into the spring market). This is, however, another area where time will tell the extent of Coronavirus' impact. I think there's little to no doubt active listings will slow even further. In an earlier blog I discussed real estate having been deemed an essential service, not only could that change, it certainly didn't mean ESSENTIAL, as in BUSINESS AS USUAL. Please feel free to read more on that HERE.

My monthly market updates present the statistical data representative of the entire City of Toronto, and this month, I added the micro-market data from W01, W02, and W06. This is an area of West Toronto which includes High Park, Bloor West, Roncesvalles, The Junction, and Mimico, to name a few. This specific segment of the city also had an increase in the average sale price, for ALL property types, year-over-year, up 18.6%, going from $860,671 in 2019 to $1,020,647 in 2020. From February 2020 to March 2020, however, the average price did decrease by 3.3%.

W01, W02, and W06 just like ALL of Toronto, was up in terms of number of sales for all property types both year-over-year and month-to-month, by 12.8% and 15.8% respectively.

As you know, I'm here to help, call/text/email anytime! Whatever it is, myself and my referral network have you covered, for all your real estate needs! And, most importantly, for all those reading this blog post while COVID-19 continues impacting the world, keep safe and stay healthy. Together we will prevail!