December 2021 Market Stats – Toronto and the GTA
The December 2021 Real Estate Stats – Toronto & the GTA
The resilience of residential real estate surprised many throughout 2021. Who knew a pandemic would actually make people want to gobble up real estate? Even though there was record demand last year, it was up against a constrained supply of listings. The result was extremely tight market conditions and an all-time high average selling price of $1,095,475, an increase of 17.8% compared to the previous 2020 record of $929,636!
2021 ended with the fewest available homes for sale in years, maybe decades, with just over 3200 active listings of all home types – that’s 60% fewer properties than the previous year. With limited listings, fewer homes traded hands with home sales for the month of December being down just over 16%. But even with fewer sales in December, 2021 was a record setting year for the Toronto Real Estate Board with 121,712 sales of all home types. This beats the previous record set in 2016 where just over 113,000 homes were sold.
Second Half of 2021 Real Estate Results
Throughout the last half of the year the market really started to heat up. The months of inventory number which monitors the pace at which homes are selling, hit a pace rarely seen before. The year ended where The Greater Toronto Area would sell out of homes of all types in just two weeks if another home did not come to market. Smaller sub markets like Brampton and Durham Region had inventory numbers where they would be sold out in less than ten days. If there were more homes available throughout 2021 the demand for real estate would have continued to eat them up.
Condominium Market
The condominium market ended the year very much the same, with few listings available and buyers found themselves competing for product resulting in continued price growth.
Real Estate Outlook for 2022
Currently the outlook for 2022 looks very much the same as 2021. With the ongoing pandemic, limited supply and insatiable demand due to extremely low borrowing costs the upward pressure on prices will remain.
The only sustainable way to moderate the continued price growth amongst all home types will be to bring on more supply. In 2022 you will continue to see new products of all home types come to market throughout the GTA and beyond. With condominiums being the primary new home type, developers continue add new an innovative amenities to their buildings that are making them more appealing to everyone from young professionals, to families, downsizers and retirees, to name just a few.
I hope you have enjoyed my input on the Toronto and GTA’s real estate market. As always, you can call , text, or email me anytime to answer any questions you may have. I wish you all the very best and a very successful start to 2022.