Toronto Luxury Real Estate

Toronto Real Estate Market Report ~ July 2024 | Is the Toronto real estate market at a turning point?

Rylie Cook -

July 2024 saw the average home price in the GTA experience a slight dip of 0.9% year-over-year, settling at $1,106,617 with detached homes being the least affected by the market slowdown.

If you’re thinking about selling, this modest decrease might cause some concern (especially if you purchased at peak prices) however this small adjustment is part of a broader trend towards a more balanced and sustainable market in the future.

For buyers, this could be a great time to explore your options. With new listings up by 18.5% compared to last year, there’s a wider selection of properties to choose from, giving you more leverage in negotiations.

The market has also seen a significant increase in inventory, with 23,877 active listings—a 55.4% jump from 2023.

This translates to more opportunities to find the right property at a fair price, particularly in the condo market which has seen a steady influx of inventory throughout 2024.

For investors, the current market conditions might present a prime opportunity to enter or expand your portfolio. With increased competition among sellers, you might find favourable deals that could lead to solid returns as the market stabilizes and grows over time.

Sales and Average Prices by Home Type

Here’s a breakdown of sales and average prices across different home types in the GTA for July 2024:

  • Detached Homes:
    • Sales: 2,446 (601 in the 416 area, 1,845 in the 905 area)
    • Average Price: $1,425,927 ($1,648,021 in 416, $1,353,581 in 905)
    • YoY Sales Change: +3.3% (+16.0% in 416, -0.3% in 905)
    • YoY Price Change: -0.1% (+0.5% in 416, -1.0% in 905)
  • Semi-Detached Homes:
    • Sales: 471 (171 in 416, 300 in 905)
    • Average Price: $1,067,576 ($1,254,280 in 416, $961,154 in 905)
    • YoY Sales Change: +7.3% (+1.8% in 416, +10.7% in 905)
    • YoY Price Change: -3.3% (-0.4% in 416, -4.5% in 905)
  • Townhouses:
    • Sales: 939 (204 in 416, 735 in 905)
    • Average Price: $914,975 ($970,661 in 416, $899,519 in 905)
    • YoY Sales Change: +8.3% (+16.6% in 416, +6.2% in 905)
    • YoY Price Change: -3.4% (-0.9% in 416, -4.2% in 905)
  • Condo Apartments:
    • Sales: 1,482 (994 in 416, 488 in 905)
    • Average Price: $718,698 ($748,330 in 416, $658,340 in 905)
    • YoY Sales Change: -1.0% (-1.3% in 416, -0.4% in 905)
    • YoY Price Change: -2.2% (-0.5% in 416, -5.7% in 905)

Year-Over-Year Summary (July 2024)

  • Total Sales: 5,391 (2024) vs. 5,220 (2023), an increase of 3.3%
  • New Listings: 16,296 (2024) vs. 13,755 (2023), an increase of 18.5%
  • Active Listings: 23,877 (2024) vs. 15,360 (2023), an increase of 55.4%
  • Average Price: $1,106,617 (2024) vs. $1,116,950 (2023), a decrease of 0.9%
  • Average LDOM (Listing Days on Market): 24 days (2024) vs. 17 days (2023), an increase of 41.2%
  • Average PDOM (Property Days on Market): 36 days (2024) vs. 23 days (2023), an increase of 56.5%

Opportunities in Upgrading: A Buyer’s Market

If you’re a homeowner thinking about upgrading, now might be the perfect time. With a slight decline in prices and a surge in new listings, the market is offering more options at potentially better prices.

Whether you’re looking for a larger home or a more desirable neighbourhood, today’s conditions could make that dream move more accessible. Plus, with market stabilization on the horizon, upgrading now could position you to benefit from future price growth in the medium to long term.

Looking Ahead: The Potential for Price Growth

The recent rate cuts by the Bank of Canada are expected to make borrowing more affordable, likely spurring a resurgence in buyer activity.

As more buyers enter the market and inventory gets absorbed, we could see tighter market conditions and a return to price growth.

For current homeowners, this suggests that holding onto your property could lead to appreciation over time, especially as the market tightens.

The Impact of Innovation and Infrastructure

Two significant developments could further enhance property values in the GTA: innovation in new home construction and the upcoming opening of the Crosstown LRT. The Toronto City Council's move towards adopting single egress stair requirements for multi-residential buildings up to four storeys could lead to the creation of more family-sized units, potentially increasing the value of existing properties in these areas.

Additionally, the Crosstown LRT, set to improve connectivity across Toronto, is expected to boost the appeal of neighbourhoods along its route. For homeowners in these areas, this could translate into increased demand and rising property values as the project nears completion.

The GTA real estate market in July 2024 is adjusting, but the overall outlook remains positive, especially for those with a long-term view of their real estate investment.

Have any questions about the market?
Reach out to me on Instagram @TorontoRealEstate.ca !

Rylie C.