Property prices across the GTA are expected to continue to increase, says a new report from Toronto-based brokerage Zoocasa.
According to Zoocasa, July saw the average home price increase by 12.6 percent annually to $1,062,256. Zoocasa is projecting that the average home price in the GTA, based in 10-years of data, will hit $1,114,387 by October 2021, which represents an increase of 4.91 percent or about $52,131.
The company is also forecasting that the low end will see a modest 3.61 percent rise in home sale prices ($38,381) to $1,100,647 between July and October, or go as high as 6.18 percent ($65,623) or $1,127,879.
Zoocasa agent Mina Chand stated that “The very reason that the sales have decreased is the cause of competition in the market for my buyers. Today’s low sales are due to low inventory and not lack of demand. Listings that are high in demand due to their location, school rating, and accessibility are low in supply and, therefore, have more competition.”
To determine these projections, Zoocasa analyzed sales and prices for the summer (June – August) and fall (September – November) periods between 2010 – 2020. The percentage difference between July (the historic low summer point) and October (the historic fall high point) was then calculated for average prices and sales volumes each year. Those averages were then applied to July 2021 price and sales data to project October 2021 average price and sales numbers. A high and low range was also calculated by averaging the percentage differences in the top five and bottom five years and applying that to the July 2021 data.