2023 saw the lowest number of home sales on the Toronto MLS since 2001 and a 5.4% drop in the average selling price vs 2022.
In 2023 we saw the lowest number of home sales since 2001, when we had 67,612 sales, which is still 1,630 more than the 65,982 sales we had this year! After a record smashing 121,712 sales in 2021, we have now seen two straight years of depressed home sales. With so many potential Buyers sitting on the side lines we are anticipating that we will see home sales start to increase significantly in 2024.
The Average selling price in 2023 was also down 5.4%, this is the first year since 2018 (when it was down 4.2%) that we have seen a drop in the average selling price in Toronto. We attribute this primary to the 7 interest rate hikes between July of 2022 and July 2023, which doubled interest rates over a one year period. Provided interest rates start to drop in 2024 we should also see the average selling price start to grow more consistently.
December – 2023 Insights
Overall, last month we saw more new and active listings along with an increased number of days on market compared to last December. With the Bank of Canada holding rates steady for the third announcement in a row we noticed a small uptick in showing/offer activity and we ended up with a 3.2% increase in the average selling price in December!
December year-over-year statistics:
New listings were up +4%
Active listings were up +19.3%
Sales were down -11.5%
Average selling price was up +3.2%
Average days on market was up from 27 to 32 days (+18.5%)
If you have any questions in regards to the market, or the when we are forecasting will be the best times to Sell or Buy this year make sure to reach out and we can speak more in person.