The Value of Sanctuary 2020 was proof positive of the value of sanctuary – especially at luxury price points -- in the GTA. Three months of lockdown gave Torontonians a new perspective on their living space, sparking a serious uptick in everything from home improvement to housing sales. Efforts to jump start the economy, including the Bank of Canada dropping the overnight lending rate to .25 per cent, added fuel to the GTA housing market as five-year closed rates fell to under two per cent. With a limited supply of homes listed for sale overall and accelerating demand for freehold properties, the market rebounded with a vengeance. Summer was the new spring, with July and August – traditionally slower months -- posting a 29.5 per cent and 40.3 per cent increase respectively in overall homebuying activity over the same period in 2019. September (up 42.3 per cent over 2019) and October (up 25.1 per cent over 2019) set new records for sales in Toronto Regional Real Estate Board (TRREB) history. While November sales were up 24.3 per cent, sales in December climbed 64 per cent over 2019 levels, making 2020 the third best year on record for the Toronto Regional Real Estate Board. In the upper-end, freehold and condominium properties over $3 million topped 2017 peak levels in essentially nine months of real estate activity. One thousand and sixty-two homes changed hands in 2020, a 55.7 per cent increase over 2019, and up about one per cent over the 1,047 sales reported in 2017. The number of luxury properties sold at virtually every price point over $4, $5, $7.5, and $10 million also reported double-digit increases in 2020.
Uber-Luxe Home Sales in the Greater Toronto Area Total Upper End Sales over $2 million (Total Freehold)
2020
2019
$2 million plus
3,649
2,295
$3 million plus
1,064
683
$5 million plus
180
125
$7.5 million plus
43
$10 million plus
16
% Change 59%
56%
44%
23
87%
11
45%
Source: Barry Cohen Homes, RE/MAX of Ontario-Atlantic Canada, Toronto Regional Real Estate Board and Torontomls.net
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