January 24, 2022
According to the latest report issued from TRREB in December a record of 121,712 sales were reported through TRREB’s MLS® System in 2021 – up 7.7 per cent from the previous 2016 high of 113,040 and up 28 per cent compared to 2020. Record demand last year was up against a constrained supply of listings, with new listings up by 6.2 per cent – a lesser annual rate than sales. The result was extremely tight market conditions and an all-time high average selling price of $1,095,475 – an increase of 17.8 per cent compared to the previous 2020 record of $929,636.
“Despite continuing waves of COVID-19, demand for ownership housing sustained a record pace in 2021. Growth in many sectors of the economy supported job creation, especially in positions supporting above-average earnings. Added to this was the fact that borrowing costs remained extremely low. These factors supported not only a continuation in demand for ground-oriented homes, but also a resurgence in the condo segment as well,” said TRREB President Kevin Crigger.*
With a great overall GTA report, let’s have a closer look at the results over the past year for our neighbourhoods in C12 and C13 – including Banbury/Don Mills, Parkwoods/Donalda and St. Andrew-Windfields.
2021 has been a delight for the sellers. Even though the number of transactions has been significantly lower than year-to-date results of 2020 (374 transactions in C12 compared to 697 last year and 871 in C13 compared to 1,115), the average price has risen 3 times in C12 (which includes the St. Andrew-Windfields neighbourhood) from 1,052,177 to 3,339,416 and 27.55% up in C13 (which includes Banbury/Don Mills and Parkwoods/Donalda neighbourhoods) with an average selling price of $1,217,530 in 2021. The average selling price to listing price ratio has been the lowest in C12 (which includes the St. Andrew-Windfields neighbourhood) among the whole City of Toronto being 98%, which is still a great number considering the median price of $2,805,000 in the area while C13 (which includes Banbury/Don Mills and Parkwoods/Donalda neighbourhoods) is pleasing us with 104% ratio meaning that most homes were sold over asking. The listing days on market average has been getting lower and lower over the past few years in C13 (which includes Banbury/Don Mills and Parkwoods/Donalda neighbourhoods) coming down to only 17 days in 2021.
December 2021 insight
While we are pleased to see the end-of-year results, let’s dive deeper into the December statistic that was released by TRREB. Compared to November, we have a little different picture, as December is known to be one of the slowest months for real estate. The number of sales in December was substantially lower – 15 in C12 (which includes the St. Andrew-Windfields neighbourhood) compared to 26 in November and 60 in C13 (which includes Banbury/Don Mills and Parkwoods/Donalda neighbourhoods) compared to 78 the month before. The average listing days fluctuated a little as well – 21 in C12 and 17 in C13 compared to 19 in both municipalities in November.
One of the most interesting things we can have a look at is how many of those sales were detached houses and how many of them were condos as those are very important factors when we are looking at these statistics, especially the average price.
1/3 of the sales in C12 (which includes the St. Andrew-Windfields neighbourhood) in December were detached houses with the amazing average price of $3,360,600, which is second highest number in the whole City of Toronto. 23.3% of sales in C13 (which includes Banbury/Don Mills and Parkwoods/Donalda neighbourhoods) were detached houses as well with the average price of $2,015,505, which is on a greater side than other municipalities in the City of Toronto. Both C12 and C13 detached homes were sold over asking on the average.
Condos are slowly taking over the market in Central Toronto and our neighbourhood as 65% of transactions in C13 and 53.33% of transactions in C12 (which includes the St. Andrew-Windfields neighbourhood) are condo apartments. C13 (which includes Banbury/Don Mills and Parkwoods/Donalda neighbourhoods) is presenting a steady average of $652,431, which is $100,000 more than the average in December of last year. C12 (which includes the St. Andrew-Windfields neighbourhood) is the absolute leader in the average price for a condo apartment impressing us with the average $1,972,875. Just to highlight how great this number is the first runner-up’s average is $1,103,800.
To conclude this Market Watch Analysis, it is surely a great time for the sellers and a hard time for the buyers. The Toronto real estate market has not been cooling down whatsoever despite the predictions that it would do so. We can only wait and see if 2022 is going to ease the market for buyers to have a better advantage to purchase real estate in the GTA or it will remain mostly a sellers’ market.
Ecko Jay Realty Ltd.
*as per GTA REALTORS® Release December 2021 Stats https://trreb.ca/files/market-stats/market-watch/mw2112.pdf