January 20 - GTA new home sales impress at year's end

January 20, 2010

GTA new home sales impress at year's end

TORONTO, Jan. 20 /CNW/ - With the final month of GTA new home sales data officially in the books, the year which could have been so much worse turned out to be far better than anticipated, ending on a very strong up-note, the Building Industry and Land Development Association (BILD) revealed today.

According to RealNet Canada Inc., BILDs official source of new home market intelligence, there was a grand total of 33,615 new homes and condos sold in the GTA in 2009, up a healthy 24 per cent over 2008 but well below the 40,000 unit average for the 2000-2009 decade.

The market was lead higher by a 48 per cent year/year increase in sales of low-rise (single-detached, semi-detached and town-home) product in the 905 area code. The high-rise condo market was up a modest four per cent in 2009 but ended the year with a fourth quarter surge culminating in December when seven out of every 10 new homes sold (70 per cent) were high-rise condo suites versus 46 per cent on a January - December basis.

Putting the 2009 results in perspective, BILD President & CEO Stephen Dupuis noted that the recovery was kick-started by builders slashing costs and margins on inventory and new product to the bone, and propelled by an improving economy, increased consumer confidence and overall housing affordability. "We're not out of the woods yet but we're cautiously optimistic that we're on the right trail," Dupuis stated.

Looking ahead, BILD is projecting 29,000 sales for 2010, reflecting concerns with the pending implementation of the HST in Ontario combined with the withdrawal of government stimulus.

For the record, the 3,148 new home sales in December 2009 represent a stunning 553 per cent increase, under-scoring the market depths plumbed in December 2008 when a mere 482 new homes and condos were sold. 

December '09

Low Rise

 

High Rise

 

Total

 

Region

2008

2009

% Change

2008

2009

% Change

2008

2009

%Change

Durham

54

152

181.5%

0

4

400.0%

54

156

188.9%

Halton

66

108

63.6%

6

18

200.0%

72

126

75.0%

Peel

83

352

324.1%

17

59

247.1%

100

411

311.0%

Toronto

19

55

189.5%

166

1,817

994.6%

185

1,872

911.9%

York

50

253

406.0%

21

330

1471.4%

71

583

721.1%

GTA

272

920

238.2%

210

2,228

961.0%

482

3,148

553.1%

GTA Jan-Dec

12,302

18,190

47.9%

14,851

15,425

3.9%

27,153

33,615

23.8%

Source:  RealNet Canada Inc.

With more than 1,300 members, BILD, formed through the merger of the Greater Toronto Home Builders' Association and Urban Development Institute/Ontario, is the voice of the land development, home building and professional renovation industry in the Greater Toronto Area.  BILD is proudly affiliated with the Ontario and Canadian Home Builders' Associations.