The Toronto Regional Real Estate Board (TRREB) has released its September 2023 housing report. Here is a short overview of what happened in the GTA real estate scene that month. The headline: fewer sales, firmer prices and many more homes for sale.
This post was first published in the fall of 2023. The figures below are from TRREB’s September 2023 report.
Sales in the September 2023 housing report
In a slight change from the previous month, the total number of residential transactions fell by a modest 7.1% compared with the same period last year. However, this dip was fairly mild, just 1.8%, when compared with the month before.
In other words, the market slowed, but it did not stall. Buyers were still active, even if fewer of them were ready to commit.
Average prices rose year over year
Interestingly, and against the common view at the time, the year-over-year average selling price in the September 2023 housing report rose by an impressive 3%. It climbed from $1,086,538 to $1,119,428.
This points to a notable side of seller behaviour: a firm commitment to holding property values. Many sellers were not willing to cut prices just because the market had cooled. For buyers, that means a slower market does not always bring big discounts. So study recent sales in your chosen area. Then you will know what a fair price looks like before you make an offer.
New listings in the September 2023 housing report
Notably, the flow of new listings into the market rose by about 43.6% (calculated), climbing from 112,281 to 161,258 homes. This jump in available homes gave buyers a much wider range of choices.
Even with this surge in supply, the time it took to sell a property fell by 14.3% compared with the same period last year. On average, properties found buyers in just 30 days, down from 35 days before. So the September 2023 housing report shows that well-priced homes were still selling quickly.
Detached homes and condos in the September 2023 housing report
It is important to note that the figures above cover all types of homes combined. That includes detached homes, semis, townhomes and condos.
Specifically, detached homes saw a notable 5.2% increase in sale prices. By contrast, condos saw a decrease of 3.3% in sales during the same period. So your own results could differ from the overall average. It depends on the type of home you own or want to buy. That is why I always check the numbers for the exact type of home and neighbourhood. The GTA average alone can mislead.
Interest rates and the market outlook
Buyers and sellers alike have become more aware that interest rates may stay higher for some time. However, the recent rise in the overnight rate by the Bank of Canada added a new layer of uncertainty to the market.
Despite this, the market could become more active, with prices trending up, if the BOC holds its rate at its next announcement. Therefore, watching the central bank’s decisions will be key to understanding where the market goes next. Read more on how the Bank of Canada rate increase put pressure on borrowers. You can also follow the monthly data on the TRREB website. Taken together, rates and the September 2023 housing report give a clear picture of a market in transition.
What the September 2023 housing report means for you
As always, the real estate market keeps changing, and being flexible is key for both buyers and sellers.
If you are buying, more listings mean more choice and more time to compare. Take advantage of that by getting a pre-approval and viewing several homes before you make an offer. If you are selling, remember that buyers now have options. Price your home with care, and make sure it shows well from the first day. For the national picture that month, see my post on the September slowdown in sales across Canada.
Talk to a Mississauga real estate agent
Do you have questions about what this means for you? I am happy to help. I can help you find a solution that suits your unique needs and goals. Please send me a message or call me on my direct line at 416 908 5600. A. Q. Mufti, Sales Representative, RE/MAX Real Estate Centre Inc., Brokerage.
Disclaimer: this article was published on 18 January 2025 and reflects the information available at that time. Interest rates, prices, and government programs change, so check the current position before acting on anything here. It is provided for information only and is not financial, mortgage, tax or legal advice. A. Q. Mufti is a registered Sales Representative with RE/MAX Real Estate Centre Inc., Brokerage, Ontario, Canada.
