Home sales in the Greater Toronto Area (GTA) saw an increase in July 2024 compared to the same time last year. While sales were up, buyers also enjoyed more options in the market, as the number of new listings grew faster than sales. This better supply gave buyers a bit of relief when it came to home prices, which remained slightly lower on average.

“It was great to see sales pick up in July compared to last year. We might be starting to see the positive effects of the two Bank of Canada rate cuts announced in June and July. Plus, with borrowing costs expected to drop even further in the coming months, we anticipate sales to gain even more momentum as buyers benefit from lower monthly mortgage payments,” said TRREB President Jennifer Pearce.

GTA REALTORS® reported 5,391 home sales through TRREB’s MLS® System in July 2024, a 3.3% rise compared to the 5,220 sales in July 2023. New listings on the MLS® System jumped to 16,296, an 18.5% increase year-over-year. However, when seasonally adjusted, both sales and new listings were slightly lower compared to June.

The MLS® Home Price Index Composite benchmark dropped by about 5% year-over-year in July 2024. The average selling price of homes sat at $1,106,617, a slight 0.9% decrease compared to the July 2023 figure of $1,116,950. On a seasonally adjusted basis, both the MLS® HPI Composite and average selling price ticked up slightly from June 2024.

“As more buyers take advantage of lower mortgage payments in the coming months, they’ll benefit from the increased inventory on the market. While this will help keep home prices relatively stable at first, as that inventory is absorbed and in the absence of a major surge in new home completions, we could see prices start to rise again,” said TRREB Chief Market Analyst Jason Mercer.

“Innovation in new home construction is key. TRREB supports the Toronto City Council’s decision to work with the province on adopting single egress stair requirements for multi-residential buildings up to four stories. This change would make it easier to create more multi-family units that are spacious enough for families. Another crucial part of the housing equation is access to public transit, and we’re excited to be closer to an opening date for the Crosstown LRT. We look forward to a firm announcement soon,” said TRREB CEO John DiMichele.