GTA Condo Prices Rise by 44% Since 2017 Housing Peak
Using its Instant Estimate home value calculator, Properly found homes in GTA appreciated by an average of 31 per cent since the 2017 peak, with condos leading the way
TORONTO, June 15, 2021 /CNW/ - Following 2021's record-setting spring housing market in the GTA, Properly, a tech-enabled real estate brokerage, reveals how much home prices have appreciated since the last housing peak in 2017. By comparing the sale prices of GTA homes during the housing peak of January - April 2017 to their current Instant Estimate, Properly found significant increases in value across all housing types, with condos showing the greatest appreciation at 44 per cent, followed by townhouses with condo fees (33%), semi-detached homes (27%), freehold townhouses (26%), and detached homes (21%).
"This past year, condo sales were hit the hardest by the pandemic. While sales are now back up to pre-pandemic levels, it's relieving for condo owners to know that their investments have appreciated significantly over time," said Anshul Ruparell, Co-founder and CEO of Properly. "Moving forward, it's forecasted that solid growth in condo sales will continue as pandemic restrictions ease. I anticipate we'll see people coming back to the city centre and back to our incredible city that offers world class dining, entertainment, and liveability."
Condos Leading the Way
As the housing segment that offers GTA homebuyers the most affordable entry point, condos have performed the strongest since the housing peak of 2017, with a 44 per cent spike in value. In addition to their strong historical performance, condos in Toronto appear to be bouncing back after months of COVID-related weak sales numbers, with 2,886 units sold in Q1-2021. The 2,886 units represents a 2.5x increase over the quarterly average from Q2-2020 through Q4-2020, and even outperforms the pre-pandemic Q1-2020 sales number of 2,829.
Home Type |
Median Sold Price |
Median Instant Estimate |
Growth |
Condo |
$437,000 |
$625,927 |
44% |
Townhouse (w/ condo fees) |
$552,000 |
$708,782 |
33% |
Townhouse (freehold) |
$700,000 |
$888,993 |
26% |
Semi-Detached |
$750,000 |
$951,726 |
27% |
Detached |
$966,000 |
$1,181,973 |
21% |
Grand Total |
$685,000 |
$877,192 |
31% |
Following the pandemic-induced spring market frenzy, it's expected that GTA homes will continue to rise in value in the coming months and years. CMHC's recently published Housing Marketing Outlook supports that perspective, suggesting the average home in Toronto will cost $275,000 more in two years.
"Following the extremely hot spring market we've just seen, we're beginning to see a slight cooling as we head into the slower summer months," says Ruparell. "By comparing sale prices during the 2017 peak to today, we hope to shed light on how properties can perform over time. As a brokerage, the most important thing we can do is work with our clients to carefully track home values, align on the price they can afford, and avoid overbidding at all costs. Our Instant Estimate tool is designed to help our agents do just that."
Wondering if now is the right time to buy? Curious about your home value? Use Properly's Instant Estimate to get a real-time valuation of any home in the GTA: https://www.properly.ca/instant-estimate/
About The Data
Properly compared sold prices of homes bought in each TRREB municipality from January - April 2017 to their current Instant Estimate on June 1, 2021. For each individual home, Properly calculated the difference in sold price to the home's estimated market value using its AI-driven Instant Estimate, then provided an average by home type. Properly Instant Estimate accuracy: R-squared: ~92%, MAPE ~7%.
About Properly
Properly is a Canadian tech-enabled real estate brokerage transforming the home buying and selling experience as the only service in Canada that helps homeowners to buy before they sell. Properly launched in 2018 with the goal of making real estate customer-centric. The company is headquartered in Toronto. To learn more, visit www.properly.ca.
SOURCE Properly
Media Contact: Linda North, [email protected], 416-708-8012
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