Greater Toronto real estate sellers are learning that a lot can change in just one month. Data from the Toronto Regional Real Estate Board (TRREB) shows that the median sale price fell in May. The majority of cities at all tiers are now seeing price drops as rates normalize.
Median GTA home sale price fell $48,000 in May
The composite median selling price of GTA real estate plunged. TRREB reported a median sale price of $1,050,000 in May, down -4.4% ($48,000) from the previous month. It fell in most of the cities tracked within the TRREB – two-thirds (65.9%), to be more precise. It’s hard not to agree that there are weaknesses that are starting to show.
Greater Toronto real estate saw prices drop as much as $192,000 in a month
The drop in the median sale price was brutal, to say the least. Six markets reported declines of more than $100,000 in just one month. Caledon leads with a median sale price of $1,330,000 in May, down 12.6% ($192,000) from the previous month. Oakville, Canada’s most expensive market, followed with a median sale price of $1,400,000, down 11.0% ($172,500) over the same period. Ajax saw the third biggest decline with prices falling to $988,800, down 13.6% ($156,200) from April.
City of Toronto real estate prices were mixed
The city of Toronto did not fall on either side of the extreme, but neither did it outperform the major markets. In Toronto West, the median selling price rose to $1,009,100 in May, up 0.4% ($4,056) from April. Toronto Central was not so lucky, with the median sale price falling to $866,000, down 1.8% ($16,250) over the same period. Toronto East fell even faster – to $1,072,300, down 4.6% ($51,225) in one month.
This somehow miraculously adds to the TRREB bringing the median sale price in the City of Toronto to $980,000. Exactly the same as the previous month, which is assumed to be a near statistical impossibility. But of course, why not?
Not all cities in the GTA saw price drops
Not all areas of the GTA saw a drop in median home price – one even made a six-figure increase. Adjala-Tosorontio (no idea where that is either) saw the median selling price rise to $1,225,000 in May, an increase of 8.9% ($100,000) for the month. Bradford-W Gwillimbury soared to $1,200,000, up 6.2% ($70,000) over the same period. There were 14 of the 41 reported median selling price regions that showed a monthly increase in May.
A lot can be unpacked with this data, but the biggest benefit is that the most expensive homes don’t move to the GTA. At the same time, stocks rose rapidly.