Moving couch

by Paul Golini: Chair, BILD

 

 

Setting sights on stability

There seems to be a lot of focus lately surrounding the 2012 performance of the housing market, particularly the high-rise side, which took a bit of time getting out of the gate in January as builders sold off existing inventory.

I thought I would address this issue by looking at the latest housing market statistics released by BILD, while cross-referencing them with some older data provided by our good friends at RealNet Canada Inc.

The 4,819 new homes and condominiums sold in the GTA in April 2012 actually outweigh the April average of 4,026 over the last 10 years. As well, April high-rise sales nearly doubled the 10-year average and are second only to 2011-a record-breaking year.

In fact, if you compare year-to-date sales statistics over the last five years, you will notice that many of them crowd around the 13,500 mark by end of April. The only exceptions here are 2008 and 2009, years affected by global economic hardships, as well as 2011 which was banner year.

Here are some of the trends to watch: new transportation corridors have opened the door to more development opportunities in the 905 regions like York and Peel. Both areas have seen tremendous growth in the last few years. Peel led the way in April with a 56-per-cent increase in total sales, largely thanks to a highly successful month in the high-rise sector - up a whopping 320 per cent!

So what does it all mean? To me, it means that the GTA market is on the right path when it comes to building new homes for the 100,000 new residents moving here every year. Stability may not be great for headlines, but it does wonders for our economy!

Paul Golini Jr. is Chair of the Building Industry and Land Development Association (BILD). You can read more from Paul and BILD by visiting the Association's official blogTwitterFacebook and Youtube accounts.