After a slight decline in new listings in August, we saw new listings climb 19% over 2007 levels in September and 6% over the volume we saw in 2006.
The total inventory on the market was 3.8% higher in September over 2006 levels and 28% higher than last year.
Sales in the Greater Toronto Area dropped below 2007 and 2006 levels in both August and September.
The sales-to-inventory ratio dipped to 23% in September. The general consensus among most industry watchers is that a balanced market occurs when sales-to-inventory levels are between the 15% and 25% range. A ratio above 25% indicates a market that favours sellers and anything below 15% typically favours buyers. This is just the third time since 2000 that we've seen the sales-to-inventory ratio drop below the 25% threshold.
Following the decline in prices last month, most people want to know where prices are heading in Toronto's real estate market. I'll follow up soon with a more detailed analysis of real estate prices for both the GTA and the city of Toronto.
October 8, 2008Market |