October 2023 Real Estate Market Update

Lack of affordability and uncertainty remained issues for many would-be homebuyers in October, resulting in a dip in sales compared to last year. However, prices remained higher, up 3.5% or $36,500, putting the average Greater Toronto Area home value at $1,125,928.

Prices for detached and semi-detached homes were higher in Toronto proper than surrounding regions, rising 8.2% and 4.7% year-over-year, respectively. In the 905-area, detached home prices rose 4.7%, while those of semi-detached homes fell 0.6%.

Townhouses saw little price gains, rising 1.1% both inside and outside Toronto. The condo market experienced a dip, with prices dropping more in the 416, down 1.7% in comparison to 0.4% in the 905.

While prices still remain well-below their record peak reached at the beginning of 2022, these numbers indicate the housing market’s resilience and offers confidence to both homebuyers and investors. It’s expected that when mortgage rates start trending lower, home sales will pick up quickly, pushing prices up higher, faster.

One of the primary hurdles of potential homebuyers continues to be the lack of housing supply, which accounts for why October’s average selling price in most sectors is above last year’s level. However, some relief is on the horizon as inventory levels continue to show improvement, reaching 19,540 active listings in October — the highest since June 2019. With more properties available on the market and a moderating demand due to higher borrowing costs resulting in slower sales, the housing market has transitioned to a more balanced state.

Given the recent increase in inventory — new listings in October were up noticeably compared to the 12-year low reported a year earlier — some have questioned whether more properties available for sale are a signed of distressed homeowners unable to meet their mortgage commitments. However, recent research by Royal LePage indicates the number of people missing mortgage payments remains at historical lows, with only 15 out of every 10,000 mortgages in Canada in arrears for more than 90 days.

With more inventory available than in previous years, the remainder of fall and the coming winter months may be an ideal opportunity for buyers to make their move. Economic data indicates the Canadian economy is contracting and that inflation, while still higher than the Bank of Canada’s target, has also slowed in recent months. These factors reduce the likelihood of further interest rate hikes and it’s possible rates may start to come down in 2024, which will compel buyers to move off the sidelines, driving up competition for homes once again.

Here’s how the real estate market performed in six Etobicoke neighbourhoods in October. If you live or are interested in obtaining real estate data on another neighbourhood, contact Clare Tattersall at 647-625-3282 or clare@realtorontowest.com.

Alderwood
Average Home Price: $1,233,267
Number of Homes Sold: 3
Average Days on Market: 10

In the community of Alderwood, 3 homes sold in October 2023, representing a decrease of 4 homes from the same month last year. The average selling price for homes fell by 8.6% to $1,233,267 in October 2023, from $1,348,500 a year earlier. Sales were comprised of bungalows (2) and a two-storey detached home. Average days on market decreased to 10 days from 22 days year-over-year.

Average home prices for Alderwood for Q3 of 2023 are available here.

Islington-City Centre West
Average Home Price: $1,412,139
Number of Homes Sold: 8
Average Days on Market: 17

In the community of Islington-City Centre West, 8 homes sold in October 2023, representing a decrease of 9 homes from the same month last year. The average selling price for homes rose by 6.6% to $1,412,139 in October 2023, from $1,325,059 a year earlier. Two-storey detached homes (4) accounted for half of all sales, followed by bungalows (3). Average days on market decreased to 17 days from 30 days year-over-year.

Overall Average Condo Price: $695,683
Total Number of Condos Sold: 41
Average Days on Market: 23

In the community of Islington-City Centre West, 41 condominium apartments sold in October 2023, representing an increase of 5 units from the same month last year. The overall average selling price rose by 9.2% to $695,683 in October 2023, from $637,294 a year earlier.

The average selling price for one-bedroom, one-bathroom condominium apartments rose by 1.7% to $520,688 in October 2023, from $512,000 in October 2022. Average days on market decreased to 21 days from 26 days over the same time period.

The average selling price for two-bedroom, two-bathroom condominium apartments fell by 5.2% to $717,214 in October 2023, from $756,191 in October 2022. Average days on market decreased to 22 days from 23 days over the same time period.

Average home prices for Islington-City Centre West for Q3 of 2023 are available here.

Long Branch
Average Home Price: $1,256,417
Number of Homes Sold: 6
Average Days on Market: 21

In the community of Long Branch, 8 homes sold in October 2023, representing an increase of 1 home from the same month last year. The average selling price for homes rose by 6.7% to $1,256,417 in October 2023, from $1,177,800 a year earlier. Sales were comprised of bungalows (3), two-storey detached homes (2) and a three-storey townhome. Average days on market increased to 21 days from 19 days year-over-year.

Average home prices for Long Branch for Q3 of 2023 are available here.

Mimico
Average Home Price: $1,217,744
Number of Homes Sold: 11
Average Days on Market: 13

In the community of Mimico, 11 homes sold in October 2023, representing an increase of 4 homes from the same month last year. The average selling price for homes fell by 12.7% to $1,217,744 in October 2023, from $1,395,000 a year earlier. Bungalows (7) accounted for two-thirds of all sales. Average days on market decreased to 13 days from 32 days year-over-year.

Overall Average Condo Price: $808,367
Total Number of Condos Sold: 35
Average Days on Market: 22

In the community of Mimico, 35 condominium apartments sold in October 2023, representing a decrease of 5 units from the same month last year. The overall average selling price for condominium apartments fell by 2.1% to $808,367 in October 2023, from $826,055 a year earlier.

The average selling price for one-bedroom, one-bathroom condominium apartments fell by 7.4% to $563,000 in October 2023, from $607,857 in October 2022. Average days on market decreased to 21 days from 27 days year-over-year.

The average selling price for two-bedroom, two-bathroom condominium apartments fell by 12.1% to $841,643 in October 2023, from $956,953 in October 2022. Average days on market increased to 22 days from 18 days over the same time period.

Average home prices for Mimico for Q3 of 2023 are available here.

New Toronto
Average Home Price: $1,220,872
Number of Homes Sold: 8
Average Days on Market: 26

In the community of New Toronto, 8 homes sold in October 2023, representing an increase of 5 homes from the same month last year. The average selling price for homes fell by 27% to $1,220,872 in October 2023, from $1,673,333 a year earlier. This significant percentage change may be partially attributed to sales of higher-end homes in October 2022. In October 2023, two-storey semi-detached homes (3) and bungalows (2) combined made up nearly two-thirds of all sales. Average days on market decreased to 26 days from 65 days over the same time period.

Average home prices for New Toronto for Q3 of 2023 are available here.

Stonegate-Queensway
Average Home Price: $1,499,562
Number of Homes Sold: 13
Average Days on Market: 17

In the community of Stonegate-Queensway, 13 homes sold in October 2023, representing no change from the same month last year. The average selling price for homes rose by 2.2% to $1,499,562 in October 2023, from $1,467,038 a year earlier. Sales were comprised of bungalows (7), one-and-a-half-storey homes (5) and a two-storey detached home. Average days on market decreased to 17 days from 20 days over the same time period.

Average home prices for Stonegate-Queensway for Q3 of 2023 are available here.

Overall average condo price includes all condo apartment configurations. One-bedroom condos include one bathroom only. Two-bedroom condos include two bathrooms only.