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Home sales in the Greater Toronto Area (GTA) saw a significant boost in October, with a 44.4% increase in transactions year-over-year, according to the Toronto Regional Real Estate Board (TRREB). Industry experts credit the rise to the Bank of Canada’s recent interest rate cuts, which have helped improve affordability and encouraged more buyers to re-engage with the market. However, while sales are moving in a positive direction, they have yet to reach previous peak levels.
The surge in sales included all property types, although the benchmark home price in the GTA dropped by 3.3% from last year to $1,060,300. Realtor Cailey Heaps noted a renewed sense of consumer confidence, with buyers feeling empowered to make purchases now rather than waiting until 2025, anticipating that lower rates have increased their buying power. TRREB president Jennifer Pearce attributed the jump in activity to both reduced borrowing costs and stable home prices, which she said created a “positive affordability picture.”
New listings rose modestly by 4.3% year-over-year, adding some inventory to the market, which, according to Heaps, is essential for sustaining sales growth. Though listings didn’t keep pace with sales, TRREB’s chief market analyst Jason Mercer emphasized that the current inventory remains balanced, offering buyers ample choice. This balance should keep home price growth moderate over the next few months as buyers continue to re-enter the market.
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