GTA new home sales strong in January

The GTA new home market saw a busy January, according to the Building Industry and Land Development Association (BILD).

There were 2,171 total new home sales in January, which was up four per cent from January 2020 and 19 per cent above the 10-year average, according to Altus Group*, BILD’s official source for new home market intelligence.

“The 2021 new home market has started the year where it left off in 2020, with strong demand continuing for single-family homes and fewer new condominium apartment openings, which impacted condominium sales volumes,” said Ryan Wyse, Altus Group’s Manager, Analytics, Data Solutions. “January is typically one of the quieter months of the year, and given the ongoing pandemic and uncertainty, it’s not surprising to see few new project openings this early in the year.”

Sales of new single-family homes, including detached, linked, and semi-detached houses and townhouses (excluding stacked townhouses), with 1,506 units sold, were up 51 per cent from last January and up 66 per cent from the 10-year average. It was the highest number of new single-family homes sold in January since 2006.

Condominium apartments, including units in low, medium and high-rise buildings, stacked townhouses and loft units, accounted for 665 new home sales in January, down 39 per cent from January 2020 and 28 per cent below the 10-year average.

With few projects launching in January, as is common for the time of year, remaining inventory decreased compared to the previous month, to 12,774 units. Remaining inventory includes units in preconstruction projects, in projects currently under construction, and in completed buildings.

“Between the effects of the pandemic and the typical seasonal slow-down of new product launches, January’s remaining inventory was the lowest we’ve seen since January 2018,” said Dave Wilkes, BILD President & CEO. “Though much remains uncertain with the pandemic, industry and government must stay focused on increasing housing supply to bring balance to the GTA housing market.”

In January, the benchmark price for new single-family homes was $1,362,952, which was up 24.2 per cent over the last 12 months, and the benchmark price for new condominium apartments was $1,021,017, which was up 10.4 per cent over the last 12 months.

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