Toronto’s condo market soared to new heights only weeks before the coronavirus pandemic.
But a new report from Zoocasa shows prices in the country’s biggest market have pulled back. It says median prices for condo apartments fell $65,000 (10 per cent) between February and April to $574,000.
Zoocasa says it doesn’t track data relating to Airbnb, a company hit hard by lockdowns, but says a variety of factors could be at play.
“There may be sellers who needed to move to accommodate lifestyle changes and preferences (e.g. a relationship or family change or a neighbourhood preference) or sellers who may have already bought a new home,” Emma Pace, a Zoocasa agent in Toronto, told Yahoo Finance Canada.
It also found 21 of Toronto’s 35 neighbourhoods in the report had fewer than 10 sales in April. Of the neighbourhoods that had more than 10 sales the median price dropped more than $100,000 in two, between $50,000 -$100,000 in four, and between $1 – $50,000 in seven.
Prices rose in only one — Milliken, Agincourt North — where the median price rose $34,000 (seven per cent).
The biggest decline was in Mount Pleasant East, where the median price fell by $131,500 (18 per cent).
Zoocasa says the dip in prices presents an opportunity for more buyers thinking about getting their foot in the door.
“Due to the competitive nature of the market subsiding, qualified buyers who may have otherwise forgone an attempt at a home search even four to eight weeks ago are now reviewing how they can participate and starting to enter the market,” said Pace.
Zoocasa says condo prices haven’t been particularly susceptible to price declines compared to other types of homes.
“Based on TRREB's latest monthly report for April, the most pronounced impact on average home prices was felt in the detached home segment,” it told Yahoo Finance Canada.
Jessy Bains is a senior reporter at Yahoo Finance Canada. Follow him on Twitter @jessysbains.