Toronto Housing Market Report
- The average home sold price in the Toronto area decreased 7% year-over-year to $1,079,395 for November 2022.
- The continued slowdown in Toronto’s housing market has been contrasted with some support in prices, led by restricted supply on the market.
- Detached home average price decreased by 11% year-over-year to $1.39M.
- Semi-detached home average price decreased by 14% year-over-year to $1.04M.
- Freehold townhouse average price decreased by 9% year-over-year to $994k.
- Condo apartment average price remained the same year-over-year.
Greater Toronto Area (GTA) Housing Market Overview
GTA home prices continue to see some support, even as the Toronto housing market adjusts to higher interest rates and a slowdown in demand. After increasing for three months in a row, the GTA’s average home price has now fallen this month to $1,079,395 for November 2022. The average GTA home price has ranged from $1,074,754 to $1,089,428 since July 2022, and it remains within this band this month. The support seen in prices may have been due to a lower level of new listings that have restricted supply on the market.
Compared to last year, GTA home prices are down 7% year-over-year. That extends the year-over-year losses seen last month, when GTA home prices were down 6% year-over-year for October 2022. Compared to February 2022’s average sold price of $1,334,544, the average home sold price in the GTA has fallen by $255,000 in the past nine months.
Market activity has decreased significantly compared to last year. There were 4,544 sales during the month of November 2022, which is a 50% drop compared to the 9,017 sales during the same period last year. This considerable drop in Toronto home sales also comes in 8% lower than last month’s sales figures.
The GTA's benchmark home price continued its downward march, declining for its eighth consecutive month. The benchmark price for the GTA was $1,089,800 for November 2022, down 1% month-over-month from $1,098,200 in October 2022. Prior to April 2022, the benchmark price had risen for 19 consecutive months starting from August 2020 until the peak in the GTA’s benchmark home price in March 2022.
The average home sold price for the City of Toronto was $1,050,788 for November 2022, a 4% decrease from last month’s average home sold price of $1,093,097. It also translates to a 4% decrease year-over-year. That’s close to the overall trend seen in the market, with GTA’s average home price declining by 7% year-over-year.
Other areas of the GTA have seen mixed growth. Mississauga’s average home price for November 2022 was $1,022,312, down 2% y/y and up 4% month-over-month. Brampton’s average home price was $999,631 for November 2022, down 12% year-over-year and down 0.4% month-over-month.
Oakville home prices have decreased by 6% in one month to $1,397,718, down from $1,487,485 last month, while Markham home prices have increased 5% month-over-month to $1,344,123. Vaughan home prices are also up 9% month-over-month to $1,359,684. Some areas of the GTA housing market are seeing significant declines in average sold prices, yet some areas are seeing price increases on a monthly basis.
Breaking down the GTA’s average home prices into property types for the month of November 2022, the average price of detached homes was $1,390,162, down by 11% compared to last year. It’s a slight monthly increase of 1% compared to October 2022’s average detached home price of $1,372,438. The average sold price of a detached home peaked at $1,797,203 back in February 2022. This means that detached home prices in the GTA have since fallen by 23% in the past nine months, a decline of over $407,000.
The average price of semi-detached homes in the GTA was $1,039,200, a 4% decrease from last month and down by 14% year-over-year. August 2022 was the first time that the GTA’s average price of semi-detached homes had been under $1 million since January 2021. Since then, semi-detached home prices have recovered and remained above the $1 million mark, despite prices being down 14% compared to last year.
The average price of freehold townhouses was $993,557, down 9% year-over-year. This brings freehold townhouses back below the $1 million mark after rising to $1,023,934 last month. Condo townhouses had an average price of $799,029 for a 3% annual decrease. For condos, the average price was $708,636, down 1% year-over-year.
Prices for detached, semi-detached, townhouses have seen significant year-over-year decreases, while prices for less expensive property types, namely condo townhouses and condo apartments, have experienced less severe drops in average prices.
The average sold price for November 2022 was 98% of the average listing price, down from the 108% ratio seen last year in November 2021. This means that the average home in Toronto was sold for less than its listing price this month, with the average not being sold over asking. In comparison, the average home was being sold for 8% over asking for the same period just last year.
Average listing days on market were 22 days in November 2022, increasing from 13 days in November 2021. Meanwhile, average property days on market, which takes into account all listings of the same property, was 33 days in November 2022, up from 18 days seen last November.
Lower November home sales have been coupled with a slight decrease in new listings. New listings are down to 8,880, an 11.5% decrease year-over-year. Compared to the GTA's 4,544 sales this month, this brings the region’s sales-to-new-listings ratio (SNLR) to 51%, higher than last month’s SNLR of 48% yet much lower than last year’s SNLR of 90%. The SNLR Trend, which is the 12-month moving average of the GTA's SNLR, was 50.7% for November 2022. Having an SNLR above 70% signals a seller’s market. This month’s SNLR shows that Toronto’s real estate market is still trending towards a more balanced market.
The Toronto Regional Real Estate Board (TRREB) suggested in its August 2022 market report that a higher sales-to-new-listings ratio may help prop up Toronto home prices as the housing market enters the busy fall season. This month, new listings have decreased but sales have decreased even further. This has brought Toronto’s SNLR up this month. However, the trend continues to point towards a decreasing SNLR as the Toronto housing market heads into the winter season.
The expansion of the CMHC First-Time Home Buyer Incentive in 2021 likely provided a short-term boost to condos in the Toronto region. First-time home buyers in the Toronto CMA spanning from Oakville to Oshawa, as well as the Vancouver and Victoria CMAs, are eligible to borrow 5% or 10% of a property's price from the Federal government for their down payment interest-free. The expansion increased the maximum household income limit from $120,000 to $150,000 and the total borrowed amount from 4x household income to 4.5x household income, which increased the home price limit from approximately $500K to more than $700K. However, usage of this program has been low amongst first-time homebuyers in Canada.
In addition, the CMHC decreased their standards for insured mortgages in 2021. This reverses the increase in standards set in 2020 and drops required credit scores from 680 to 600. This change also increases GDS and TDS ratio limits to 39% and 44% from 35% and 42%, respectively.
However, the Office of the Superintendent of Financial Institutions (OSFI) and the Department of Finance Canada also raised the benchmark mortgage stress test rate in 2021 for both insured and uninsured borrowers from 4.79% to 5.25%, limiting affordability for marginal buyers.
Mortgage rates have risen from their 2020 lows and are expected to rise further this year. The first rate hike by the Bank of Canada occurred on March 2, 2022, followed up by a series of aggressive hikes that may continue into next year. This is in response to the stubbornly high inflation rate in Canada, and it has caused Toronto mortgage rates to rise and has led to a drop-off in housing demand.
Home Prices in Toronto
Single-Family Detached Home Prices in the GTA
| Statistics for November 2022 | ||
| Average Price: | $1,390,162 | -11.3% from Nov. 2021 |
| Units Sold: | 2,056 | -46.7% from Nov. 2021 |
| New Listings: | 3,954 | -9.8% from Nov. 2021 |
Semi-Detached Home Prices in the GTA
| Statistics for November 2022 | ||
| Average Price: | $1,039,200 | -13.8% from Nov. 2021 |
| Units Sold: | 386 | -48.9% from Nov. 2021 |
| New Listings: | 609 | -24.3% from Nov. 2021 |
Freehold Townhouse Prices in the GTA
| Statistics for November 2022 | ||
| Average Price: | $993,557 | -9.3% from Nov. 2021 |
| Units Sold: | 403 | -44.8% from Nov. 2021 |
| New Listings: | 728 | -7.0% from Nov. 2021 |
Condo Prices in the GTA
| Statistics for November 2022 | ||
| Average Price: | $708,636 | -0.9% from Nov. 2021 |
| Units Sold: | 1,289 | -55.1% from Nov. 2021 |
| New Listings: | 2,871 | -11.5% from Nov. 2021 |
Greater Toronto Area Housing Market Statistics for All Property Types
Average Sold Price and MLS HPI Benchmark Price
Total Transactions
Property Type Distribution
Free Home Value Estimator
Detached HouseHousing Markets Across Canada
Market Overview for Detached Homes
Average Sold Price
Transactions
Market Overview for Semi-Detached Homes
Average Sold Price
Transactions
Market Overview for Freehold Townhouses
Average Sold Price
Transactions
Market Overview for Condo Apartments
Average Sold Price
Transactions
Greater Toronto Area (GTA) Breakdown by Region
Region | Average Sold Price | 1-Year Change | Total Transactions | |
|---|---|---|---|---|
| #1 | Halton Region | $1,156,315 | -14.8% | 431 |
| #2 | Burlington | $964,939 | -16.1% | 135 |
| #3 | Halton Hills | $1,066,776 | -20.6% | 50 |
| #4 | Milton | $1,078,240 | -10.6% | 91 |
| #5 | Oakville | $1,397,718 | -12.6% | 155 |
| #6 | Peel Region | $1,039,706 | -6.7% | 748 |
| #7 | Brampton | $999,631 | -12.3% | 283 |
| #8 | Caledon | $1,369,267 | -13.4% | 56 |
| #9 | Mississauga | $1,022,312 | -1.6% | 409 |
| #10 | York Region | $1,309,646 | -6.1% | 832 |
Glossary and Definitions
MLS® HPI: The MLS® Home Price Index (HPI) is an index by the Canadian Real Estate Association (CREA) that tracks the prices of homes in a neighborhood. It allows Canadians to quickly compare home prices across Canada and between periods of time without having to account for specific features of a property. Unlike market prices, which can fluctuate from month to month based on seasonal dynamics, the HPI provides a stable view tracks trends across a longer period of time. The HPI is reviewed every year in May to adjust for changes in the real estate marketplace.
MLS® HPI Benchmark Price: The MLS® Home Price Index (HPI) Benchmark Price is the HPI translated into a real-world price number.
Strata Insurance: Strata insurance is insurance used by a strata like a condominium to covers damages to common areas and assets and liability to the strata. It can also include fixtures built or installed as part of the original construction of each unit, even though these may not be common structures. The insurance can cover:
- Buildings and structures associated with the strata including common areas such as the roof, parking garages, driveways, gyms, pools, etc.
- Liability for any property damage or bodily injury suffered on strata property
- Any fixtures that are part of the "standard unit" or original construction of each unit
Strata insurance does not usually include personal items and appliances that are part of a condo unit. It also does not cover the damages made by individual unit owners, such as in the case of water damage caused by a unit owner. These are usually covered by personal condo insurance.
Property types
Detached home: A detached home is your standard single-family home. It is a residential building that stands alone and is separately titled or legally a single unit.
Semi-detached home: A semi-detached home is similar to a detached home, except it shares a wall with another home. This pair of homes must make up an independent building and each should be separately titled or legally two separate units. There can only be two homes in a semi-detached building.
Townhouses: A townhouse is the middle between a detached/semi-detached home and a condo apartment. Like detached and semi-detached homes, they are often single-family units that have their own land and may be attached to other units. However, like condo apartments, they typically have to pay co-ownership fees for maintenance and may share some common features with their neighbors.
Condo apartment: This category includes all apartments and condominiums. These are complexes of residential units with common areas such as hallways, parking lots, stairwells, etc. They can be low-rise, mid-rise, or high-rise buildings. Unlike townhouses, there are no parts of the lot (the land of the building) where access is reserved for only one owner or occupant. There can be privately owned units and spaces inside the building.
Plexes are multi-story buildings with two to four individual units, usually one on each floor. They are a mainstay in Montreal and other cities in Quebec. Each unit is usually individually accessible via an external entrance with higher floors connected by staircases.
Property Classes
Freeholds: A freehold is any property where the owner owns both the house and the land it is built on. Common freehold property types include: detached, semi-detached, some townhouses, and farmland.
Condominiums: A condominium or condo is any property where the owner owns the home (or unit) but shares ownership of the land and other improvements with a condominium corporation. Common condominium property types include condo apartments and some townhouses.
Leasehold: Leasehold describes the situation where different entities own the land and the structure built on the land. Owner of the buildings has leased the land and pay rent to their landlord while owning the building on the land.
Housing Markets Across Canada
Data sourced from the Toronto Regional Real Estate Board (TRREB) and the Canadian Real Estate Association (CREA). Any analysis or commentary is the opinion of the analysts at WOWA.ca and should not be construed as investment advice. Please consult a licensed real estate professional before making a real estate investment decision. The trademarks MLS®, Multiple Listing Service® and the associated logos are owned by The Canadian Real Estate Association (CREA) and identify the quality of services provided by real estate professionals who are members of CREA.