Is Toronto’s Condo Market Back for Good?
In September 2020 there were just under 3500 condo listings available for sale downtown and in surrounding communities. Sellers were struggling to sell their condos and those that needed to sell were offering serious discounts off COVID highs.
Some sold and some didn’t. Those that didn’t sell are going to be rewarded handsomely in 2021 as we’ve seen an unprecedented drop in the number of available listings downtown.
Approximately 2000 condo units have been absorbed or pulled since September. Many have successfully sold while many others simply decided that they didn’t want to leave money on the table and pulled their units off-market. Opted to rent out or live in for a little longer even at a discount to wait for some improvement.
Well, that strategy is proving to be a winner as condo prices downtown have settled at just under $1000 and should inch up as long as inventory doesn’t balloon as it did in June. We don’t see anything that could trigger that sort of panicked activity as when COVID was fresh.
Downtown condos have been trading at under $1000/PSF on average for a few months now. We haven’t seen this average since before COVID when condos were approaching $1100/PSF on average. We’ll get there again in Q2 as long as inventory remains low.
If you’d like a more detailed overview of what’s happening in the various Toronto communities I’m tracking, go have a look at our weekly updates here. If you own a condo we should talk. Each building and community is reacting differently so yours may not be performing as well as others or you could be better off!
Happy real estating, everyone! email@example.com or firstname.lastname@example.org or 416-434-1511