Amid the steep decline in sales, the only modest sign of market improvement came from the slowing pace of growth in the number of new homes listed for sale, which rose 5.1 per cent in July compared to last July.
Toronto home sales plummeted in July from a year earlier and prices were down almost 19 percent from April as government moves to cool a long housing boom in Canada's largest city spooked buyers, data showed on Thursday. But, on a month-over-month basis, the benchmark price was down 4.6 per cent.
The average selling price for all home types combined was C$746,218 ($592,990), up just 5.0 percent from a year ago, and down 18.8 percent from a peak of C$919,449 in April. We generally see an uptick in sales following Labour Day, as a greater cross-section of would-be buyers and sellers start to consider listing and/or purchasing a home.
"Home buyers benefitted from more choice in the market this July compared to the same time previous year".
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Condo prices have held up the most since the market began its downturn in April due to their relatively better affordability for first-time home buyers. In July, the average selling price across the GTA was $746,218. "It doesn't make sense - price appreciation will level off", he said.
Ontario introduced housing market regulations in April to calm the overheated market in Toronto and the areas around Lake Ontario, measures that included a 15% tax on foreign purchases.
In a recent episode of BuzzBuzzNews' weekly Facebook Live broadcast, 15-year Toronto market veteran Chris Borkowski, a broker with Re/Max Hallmark, said he believes market conditions are going to be even more buyer friendly following the September long weekend.
While most data has shown foreign buyers represent only a small portion of buyers in Toronto, the government move sparked a shift in sentiment, TREB said.
"Summer market statistics are often not the best indicators of housing market conditions". "Looking forward, if we do see some would-be home buyers move off the sidelines and back into the market without a similar increase in new listings, we could see some of this newfound choice erode", he says in a statement.