TORONTO — New-home sales in the Greater Toronto Area reached new lows in May due to the COVID-19 pandemic, the Building Industry and Land Development Association and Altus Group reported recently.
With 866 new homes sold, it was the lowest May for total new-home sales since Altus Group started tracking sales in 2000. May’s total new-home sales were down 81 per cent from May 2019 and 76 per cent below the 10-year average.
Single-family homes, including detached, linked and semi-detached houses and townhouses (excluding stacked townhouses), accounted for 438 new-home sales, down 55 per cent from last May and 68 per cent below the 10-year average. Sales of new condominium apartments, including units in low-, medium- and highrise buildings, stacked townhouses and loft units, at 428 units sold, were down 88 per cent from May 2019 and 80 per cent below the 10-year average.
With few projects launching in May, total new-home remaining inventory decreased slightly from the previous month, to 13,647 units. Remaining inventory includes units in preconstruction projects, in projects currently under construction and in completed buildings.
“Two months into the COVID-19 crisis, we are continuing to see the impact on available new-home inventory numbers, with the number of new units brought to market in April and May reaching unprecedented low levels,” said Matthew Boukall, Altus Group’s vice-president for data solutions. “Looking back at the market activity following the SARS outbreak in 2003, the industry will likely experience more months of disruptions to available inventory and sales.”
The benchmark price for new condo apartments in May was $985,436, which was up 26.4 per cent over the last 12 months, and the benchmark price for new single-family homes was $1,109,643, which was even over the last 12 months.