Home sales in Toronto and Vancouver continued to rise in July despite higher interest rates charged on mortgages.
The Toronto Regional Real Estate Board (TRREB) said home sales in the Greater Toronto Area (GTA) totaled 5,250 in July, which was up 7.8% from a year earlier.
New home listings across the GTA grew 11.5% in July, while the average selling price increased 4.2% to $1.12 million.
However, TRREB noted that sales and prices in the GTA, which is Canada’s largest housing market, declined from June of this year, with sales down 8.8% and the average selling price down 0.7% month-over-month.
Vancouver Home Sales
Across the country in Vancouver, homes sales rose nearly 30% in July from a year ago and prices were up across the board as the housing market remains strong on Canada’s West Coast.
Residential home sales in Vancouver totaled 2,455 for the month, up 28.9% from July 2022, according to the Real Estate Board of Greater Vancouver (REBGV).
However, while sales were strong in July, they were 15.6% below the 10-year seasonal average.
The median price for properties sold in Vancouver rose 0.5% to $1.21 million in July from the same month in 2022. Detached homes sold for an average of $2.01 million.
The total number of homes currently listed for sale in Vancouver totaled 10,301 in July, a 4% decrease from July 2022. New listings rose 17% to 4,649 units during the month.
In July, the Bank of Canada raised its trendsetting overnight interest rate by 25-basis points to 5%, its highest level since 2001.
According to Canada Mortgage and Housing Corporation (CMHC), the federal housing agency, the average interest rate charged on a home mortgage with a five-year term is currently 7.18%.
