New home sales soar in June, as condos dominate market
Condos accounted for 91 per cent of the new homes sold in the Toronto area last month.
By
Tues., July 25, 2017
The gains in the newly-built home market are almost entirely due to apartments and stacked townhouses, which accounted for 91 per cent of the 6,046 homes sold in June, according to the latest numbers from the Building Industry and Land Development Association (BILD) on Tuesday.
New condo sales were up 89 per cent year over year, compared to a 72 per cent year-over-year drop in the sale of single family homes.
The strong condo performance was due in part to the large number of new projects that hit the market in May and June, said Patricia Arsenault, of Altus Group, which tracks new home statistics.
But their more affordable entry-point prices appealed to many consumers, who might have otherwise preferred a ground-level home and to investors who have noted the escalating price of condos, she said.
Article Continued Below
"With condo prices continuing to escalate, this segment of the market is becoming out of reach for many consumers," warned BILD CEO Bryan Tuckey in a press release.
The price of new apartments rose $22,000 to $627,000 in June, compared to May — a 34 per cent year-over-year increase.
The price per square foot, considered one of the most accurate gauges to compare condos, rose to $742, compared to $587 a year ago.
No comments:
Post a Comment