April 20 - First quarter new home sales down 62 per cent

April 20, 2009

First quarter new home sales down 62 per cent

Toronto, On, April 20, 2009 - New home sales in the Greater Toronto Area were down 55 per cent in March, compared with March 2008, contributing to a 62 per cent decline in first quarter new home sales, Stephen Dupuis, President and CEO of the Building Industry and Land Development Association (BILD) revealed today.

According to RealNet Canada Inc., there were 1,457 new homes and condos sold in March versus 3,203 last March. The 55 per cent decrease was driven by a dramatic fall-off in high-rise condominium sales which were down 77 per cent from last March. Low-rise sales (single-detached, semi-detached and townhomes) fared better, relatively speaking, declining 27 per cent from March, 2008

Through the first three months of 2009, low-rise sales are down 50 per cent while high-rise sales are down 75 per cent, resulting in the 62 per cent decline in total sales. On a unit basis, first quarter sales declined from 7,688 last year to 2,961 this year.

In a word, the first quarter results were "dismal," said Dupuis, noting that the 4,727 unit decline in sales will be directly reflected in reduced construction employment down the road. "There's still a fair amount of residential construction activity currently underway as the industry builds pre-sales from 2008 and earlier, however housing starts will inevitably decline by the same percentage as sales," he said.

March

Low Rise 

 

High Rise

 

Total

 

Region

2008

2009

% Change

2008

2009

% Change

2008

2009

%Change

Durham

239

237

-0.8%

11

7

-36.4%

250

244

-2.4%

Halton

231

232

0.4%

126

8

-93.7%

357

240

-32.8%

Peel

243

223

-8.2%

134

40

-70.1%

377

263

-30.2%

Toronto

78

34

-56.4%

1,419

317

-77.7%

1,497

351

-76.6%

York

626

317

-49.4%

96

42

-56.3%

722

359

-50.3%

GTA

1,417

1,043

-26.4%

1,786

414

-76.8%

3,203

1,457

-54.5%

YTD

4,111

2,052

-50.10%

3,577

909

-74.60%

7,688

2,961

-61.50%

Source:  RealNet Canada Inc.

With more than 1,400 member companies, BILD is the voice of the land development, home building and professional renovation industries in the Greater GTA.  BILD is proudly affiliated with the Ontario and Canadian Home Builders' Associations.