GTA Home Sales Up 7% in April, Prices Down 4.9%

Home sales in the Greater Toronto Area rose seven percent year-over-year in April, reaching 5,946 transactions, while average selling prices declined 4.9 percent to $1,051,969, the Toronto Regional Real Estate Board reported.

The increase marked the second straight month of year-over-year sales growth and represented the highest monthly total so far this year. On a seasonally adjusted basis, sales climbed 6.1 percent from March. New listings fell 9.3 percent to 17,097, contributing to a 6.4 percent drop in active inventory to 25,110 properties. The MLS Home Price Index composite benchmark price, which tracks a typical home, decreased 6.6 percent from the previous year.

TRREB Chief Information Officer Jason Mercer attributed the uptick to lower home prices and borrowing costs over the past year, which have spurred some spring buying activity. "The market still has a substantial amount of pent-up demand," Mercer said.

TRREB President Daniel Steinfeld described the trends as a tightening market that could encourage sidelined buyers. "Buyers have taken advantage of more affordable housing market conditions on the back of lower home prices," Steinfeld said. "If market conditions...