Low levels of availability in the detached, semi-detached and townhouse segments of Toronto have contributed to an increasing number of city residents deciding to stay.
According to an analysis of the Census data carried out by the Center for Urban Research and Land Development at Ryerson University, Toronto’s housing activity due to changes in management has decreased significantly by 6.3% between 2006 and 2016.
“In the last decade compared to the early 2000s, we were building many more low-density homes, particularly single-family homes. In 2002 we built 22,000 units and in 2016, the peak in the last 10 years, we built 11,000 units, ”analysis co-author Frank Clayton told the Toronto Star.
Among Toronto homeowners, movements fell 7.6% during that 10-year period. This is compared to the 3.9% reduction in movements among tenants.
The next biggest drops in movement activity were markedly lower than Toronto levels. Calgary experienced a 5.7% decline, while Vancouver had 3.8% fewer movements, followed by Ottawa, Montreal and Edmonton.
Constantly high price levels could also have contributed to the trend. The latest edition of the Teranet-National Bank of Canada House Price Index showed that last month, housing prices in Toronto increased 1.33% since May and increased 2.81% since June 2018.
The index also reported that Toronto’s residential price growth in June accounted for almost half of the total market increase so far in 2019.
At the same time, Better Dwelling noted in his analysis of the figures that the June reading was the third smallest annual increase for that month. In particular, the level of June 2019 was 2.13% below the historical maximum seen in July 2017.
Thinking about investing in real estate? Contact me and I will offer you the best advice and opportunities in the market!