As seen in a recent article in the Financial Post, housing prices in the GTA are on the rise. Sales may have dropped 1% year-over-year in June, but the housing prices in the same period have shot up 4.7%.
This is primarily seen thanks to growth in the single-detached and semi-detached houses in the GTA, while average condominium apartment prices have remained the same.
The housing market has improved since the first quarter of 2013, where we saw a tightening of houses going on the market and the number of transactions occurring. While transactions have still not improved, increased demand thanks to new searches has pushed housing prices higher, giving home sellers more incentive to command the value of their home.
Universally, we are seeing a drop in sales and an increase in prices, all resulting in a short supply of low-rise home types, especially detached housing.
What do you think about the rise in housing prices? Is this an indicator of a shift in the market?
Source: Financial Post