February 2024 Real Estate Market Review

The Greater Toronto Area (GTA) experienced growth in home sales and new listings in February 2024 compared to the same period last year. This increase was seen both annually and monthly, with selling prices also showing a slight upward trend compared to the previous year. Factors contributing to this growth include population growth and a strong regional economy, although higher borrowing costs have kept home sales below the record levels seen in February 2021.

TRREB President Jennifer Pearce noted a resurgence in sales activity, with market assumptions suggesting that the Bank of Canada has completed its rate hikes and consumers anticipating rate cuts in the future. Some homebuyers have adjusted their preferences to accommodate higher mortgage rates by saving up larger down payments, opting for less expensive homes, or exploring different locations within the GTA.

In February 2024, there were 5,607 GTA home sales reported through TRREB’s MLS® System, marking a 17.9% increase compared to February 2023. New listings also saw significant growth annually, providing more choices for buyers. However, on a seasonally adjusted month-over-month basis, sales were lower following two consecutive monthly increases, while new listings remained flat.

Home selling prices in February 2024 were similar to the previous year, with the MLS® Home Price Index Composite benchmark increasing by 0.4%. The average selling price rose modestly by 1.1% to $1,108,720. Both the MLS® HPI Composite and average selling price saw slight increases on a seasonally adjusted monthly basis.

Looking ahead to the rest of 2024, TRREB Chief Market Analyst Jason Mercer anticipates that more buyers will re-enter the market with adjusted housing preferences due to higher borrowing costs. Lower interest rates expected in the second half of the year are forecasted to further boost demand for ownership housing. Additionally, first-time buyers may contribute to increased activity as many renters seek to transition from paying high monthly rents to investing in long-term equity-building opportunities.

Expert Guidance for Your Home Loan Journey The best way to find all the answers is to deal with a professional.  When you contact a mortgage broker from easyhouseloan.ca, you are assured of dealing with individuals who are skilled in all of the details necessary to secure a loan.  They have access to a wide range of financial arrangements and are happy to help you work through the details to help you purchase the house you want.