MLS® home sales activity ran strong in the Greater Toronto Area during the third quarter of 2009. Transactions rebounded by double-digit figures in all major housing categories, inventories shrank, and median sale prices rose to record levels.

MLS® home sales activity jumped 28 per cent from a year earlier to 26,205 units in the third quarter, the highest level ever for activity during this period. This is the second consecutive increase from year-ago levels, and the largest gain in more than seven years.

Sales momentum was very strong through the quarter, posting year-over-year increases of more than 25 per cent in each month.

Seasonally adjusted sales activity rose in August and September (seasonal adjustment removes normal seasonal fluctuations), contributing to quarterly increase of 11 per cent in the third quarter of 2009. Building on two consecutive rises, seasonally adjusted activity now stands 72 per cent above the low point for activity recorded at the end of 2008.

Inventories were down significantly from year-ago levels in all major housing categories. Combined with a strong improvement in sales activity, the MLS® market was considerably tighter than it had been a year earlier. Homebuyers responded by taking less time to shop in the third quarter.

Median sale prices rose to new record levels in all major housing categories, reflecting increased activity in the highest price segments.

The median sale price for MLS® single detached homes rose eight per cent year-over-year to $425,000 in the third quarter of 2009. The median price for MLS® semi-detached units was up three per cent from year-ago levels to $336,000.

The median sale price for MLS® condo townhouse units rose six per cent year-over-year to $265,000, the first time price levels have risen above $260,000.

The median price for MLS® condo apartment units was up seven per cent year-over-year to $262,000 in the third quarter of 2009. This is also the first time the price has risen above $260,000.

Courtesy CREA