- Home transactions rise 24% in August as prices jump 18%
- Toronto gains as Vancouver slumps on new foreign buyer tax
Home sales in Toronto jumped to a record in August over the prior year, diverging from Vancouver where a foreign investor tax cooled Canada’s hottest housing market.
Transactions in Toronto rose 24 percent to 9,813, the Toronto Real Estate Board said in a statement Wednesday. The average price for all housing types rose 18 percent to C$710,410 ($553,000) in the Greater Toronto Area, while the price of a detached property in the city jumped to C$1.2 million.
“The conditions underlying strong demand for ownership housing remained in place," said Larry Cerqua, the board’s president. Those conditions include a strong regional economy, average earnings increases and low mortgage rates, he said. The Toronto board also said it would be releasing research and survey results about foreign investing activity and supply of homes.
The country’s two hottest housing markets diverged in August, with Toronto home sales and prices rising as Vancouver cooled. Sales were at the lowest in almost two years and the prices were down in the Pacific Coast city.