Home sales in the Greater Toronto Area (GTA) saw their largest increase in four months in May, with prices slightly rising, as homebuyers took advantage of improved affordability. Seasonally adjusted sales rose 8.4% month-over-month, and the home price index edged up 0.1%, marking the first increase since November. Lower borrowing costs, due to the Bank of Canada's rate cuts, have contributed to this improvement, though economic confidence remains a concern.
Toronto home sales rise the most in four months as affordability improves
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TL;DR: Key points with love ❤️Home sales in the Greater Toronto Area (GTA) saw their largest increase in four months in May, with prices slightly rising, as homebuyers took advantage of improved affordability. Seasonally adjusted sales rose 8.4% month-over-month, and the home price index edged up 0.1%, marking the first increase since November. Lower borrowing costs, due to the Bank of Canada's rate cuts, have contributed to this improvement, though economic confidence remains a concern.
Trending- 1 June 2024: The Bank of Canada began lowering its benchmark interest rate.
- 2 November (previous year): The TRREB home price index last saw an increase.
- 3 January (current year): The last time sales saw a bigger increase.
- 4 May (current year): GTA home sales increased 8.4% month-over-month; The home price index edged up 0.1%.
- 5 Wednesday (current day): Toronto Regional Real Estate Board data was released.
- Increased home sales and prices in the GTA
- Improved affordability for homebuyers
- Expected slowdown in the economy due to the U.S. trade war
- Concerns about a lack of economic confidence
What: Greater Toronto Area (GTA) home sales posted their biggest increase in four months; Prices edged higher; Affordability improved for homebuyers.
When: May (sales data), Wednesday (TRREB data showed), four months (biggest increase in), second straight month of gains, January (biggest increase since), November (first price increase since), June 2024 (Bank of Canada rate cut began).
Where: Greater Toronto Area (GTA), Toronto.
Why: Homebuyers benefited from greater choice and improved affordability; Lower borrowing costs contributed to improved affordability; The Bank of Canada lowered its benchmark interest rate.
How: Seasonally adjusted sales increased by 8.4% month-over-month; TRREB’s home price index edged up 0.1%; The Bank of Canada lowered its benchmark interest rate by 2-1/4 percentage points since June 2024.