October 2023 in the Greater Toronto Area (GTA) was all about the housing market, and it had folks talking about affordability and dealing with a bit of uncertainty. It slowed down the sales game just a tad compared to last year. But hey, don't be fooled; the market's got some fight left, as prices kept on climbing.
Paul Baron, the big shot at TRREB, pointed out how people were still hungry for homes, thanks to the population explosion and the strong GTA economy. People were starting to check out rentals more because borrowing money was costing an arm and a leg, and those interest rates were as predictable as the weather. Baron's got some hope for next year, thinking we'll see a real bounce-back in home sales, especially if those mortgage rates take a dip.
In October, the REALTORS® gang recorded 4,646 home sales through TRREB's MLS® System, which was about 5.8% less than the same time last year. When they did the math for the season, sales dropped a bit month-to-month. Good news on the listing front, though! There were more new listings this year compared to last, even if it wasn't a record-breaker. The numbers took a small dip when you adjusted for the season compared to September.
Both the MLS® Home Price Index Composite benchmark and the average selling price went up compared to last year, by 1.4% and 3.5%, respectively. When you factor in the seasons, the MLS® HPI Composite benchmark went down just a smidge, but the average selling price held steady, and both stayed high, well above the lows from early 2023.
Jason Mercer, TRREB's Market Guru, said buyers were locked in a battle that's been driving prices up, keeping them higher than last year and well above the 2023 lows. The Bank of Canada's October update agreed that the market's still got some muscle. Mercer also noticed that while current prices aren't at the peak of early 2022, they're helping folks cope with those rising borrowing costs.
John DiMichele, TRREB's big boss, wasn't too thrilled with how uninsured mortgage holders were faring as they neared the end of their mortgage terms. He had some strong words about the tough rules that make it hard for borrowers to get better rates elsewhere. DiMichele called on the Office of the Superintendent of Financial Institutions to drop these strict rules, especially since they've been chatting about it lately, to give homeowners a hand in this high-cost borrowing jungle.
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