Sales were up 462 per cent compared to April 2020 as the city’s housing market continues to bounce back from the pandemic lows recorded last year, said CREB.
“Despite entering the third wave of COVID-19, there is more optimism of economic recovery when the economy re-opens,” said Ann-Marie Lurie, CREB’s Chief Economist.
“However, the recent surge in home sales could be a result of potential buyers wanting to enter the market before any further changes occur in prices, interest rates and lending policy. This could erode some of their purchasing power.”
The overall residential sale price in April was $451,400, which was an increase of 9.2 per cent from a year ago.
New listings of 4,670 were up by 227.7 per cent year-over-year while the inventory of homes for sale at the end of the month was 7.5 per cent higher than a year ago at 6,070.
The months of supply, which measures how long it would take for the inventory to be sold given the current demand, fell by 80.9 per cent year-over-year in April to 1.89 months.
“Recent price gains and tight market conditions have also encouraged many sellers to list their home this month. However, demand was strong enough to absorb the additional supply, ensuring the market continues to favour the seller. With 4,670 new listings coming onto the market in April, inventory levels trended up relative to last month and last year. With the elevated sales, the months of supply remains below two months,” said CREB.
“Persistently tight market conditions are causing significant upward pressure on prices. For the second consecutive month, the unadjusted benchmark price rose by more than two per cent compared with the previous month and more than nine per cent compared with last year’s levels. While sales improved across most price ranges, product priced above $600,000 represented 25 per cent of the sales that occurred this month. This is a significant increase from last year when they only represented 12 per cent of sales. The shift in distribution is causing both the average and median prices to record double-digit year-over-year price gains.”