Jan 19 - The year of the condo (sales figures news release)

January 19, 2006

"The Year of the Condo"

More new condos sold in 2005 than any previous year

Toronto- There were 17,693 new high-rise condominium apartments sold in the Greater Toronto Area in 2005, making it the best year ever for new condominium sales.  In total there  were 42,629 new homes and condominiums sold in 2005 making it the second best year on record and marking the sixth consecutive year that new home sales have exceeded the 40,000 unit threshold, announced Desi Auciello, president of the Greater Toronto Home Builders' Association.

The high-rise market was up an astonishing 31 per cent in 2005 while the low-rise housing market (single-detached, semi-detached and townhouses) was off by nine per cent compared with 2004. Overall, the new home market rose by 4 per cent in 2005.

"High-rise condo sales have exploded, particularly in the last two years," Auciello noted. From 2000-2003, high-rise condos averaged 26-28 per cent of all new home sales. The high-rise apartment market share shot up to 33 per cent in 2004 and skyrocketed to 42 per cent in 2005. "This market is rising-high on the strength of the high-rise," said Auciello.

"More and more home buyers of all ages and incomes from the first time buyer looking for an affordable new home to empty-nesters seeking less maintenance are choosing the condo lifestyle," said Auciello.

The new home sales figures were prepared for the GTHBA by RealNet Canada Inc.

The GTA new home price index increased to $390,002 for low-rise homes and $294,421 for high-rise apartments.

The index is essentially the average asking price of all the remaining new homes and condos currently available for sale, as calculated by RealNet Canada Inc., the GTHBA's independent source of new home market information.

The new home price index is based on currently available new home offerings, weighted by remaining inventory, for projects of 15 or more units, excluding ultra-luxury product across the GTA.

The top five municipalities in the GTA for 2005 were Toronto, 14, 274; Brampton, 5,692; Mississauga, 3,684; Markham, 3,323 and Vaughan, 3076.

With more than 1,350 members, the GTHBA is the voice of the residential construction industry in the Greater Toronto Area. Established in 1921, the association is comprised of land developers, home builders, professional renovation contractors, sub-contractors, suppliers, service, professional and financial firms. We are proudly affiliated with the Ontario and Canadian Home Builders' Associations.

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For further information:

Suzanna Cohen
Director of Communications
Greater Toronto Home Builders' Association