top of page
  • Writer's pictureReneeta Vigueras

You September 2023 Market Update

The Greater Toronto Area (GTA) housing market in September was influenced by several factors, including high borrowing costs, elevated inflation, uncertainty about future Bank of Canada decisions, and a slower economic growth rate. Despite increased listings, the average selling price saw a year-over-year increase.

TRREB President Paul Baron provided insights into the short and medium-term outlook for the GTA housing market. In the short term, borrowing costs were expected to remain high until mid-2024, after which they were predicted to decrease.

This projection indicated a potential surge in demand for ownership housing in the latter half of the following year, driven by lower interest rates and robust population growth.

In September 2023, TRREB's MLS® System recorded 4,642 home sales, marking a 7.1 percent decrease compared to September 2022. Ground-oriented homes, particularly semi-detached houses and townhouses, experienced a more pronounced decline in sales year-over-year. Additionally, on a month-over-month seasonally-adjusted basis, sales also showed a slight decrease.

New listings, which had been exceptionally low in September 2022, increased significantly on a year-over-year basis. Listings also trended upwards on a month-over-month seasonally adjusted basis.

The MLS® Home Price Index (HPI) Composite benchmark saw a 2.4 percent year-over-year increase, while the average selling price rose by three percent over the same period. On a month-over-month seasonally-adjusted basis, both the average selling price and the MLS® HPI Composite benchmark experienced a minor decrease of less than one percent.

TRREB Chief Market Analyst Jason Mercer noted that while GTA home selling prices remained above their early 2023 low, the market experienced more balance during the summer and early fall, with an increase in listings relative to sales. This shift might provide some buyers with increased negotiating power, at least in the short term, potentially offsetting the impact of high borrowing costs.

TRREB CEO John DiMichele highlighted a significant issue concerning the first-time buyer exemption threshold for the City's upfront land transfer tax. Despite the average price of a condo apartment in Toronto surpassing $700,000, the exemption level has remained at $400,000 for fifteen years. He commended Toronto City Council for requesting a report on an appropriate exemption level for the future, emphasizing the need for policy alignment and cooperation among all levels of government to address the housing crisis.

Questions about your specific neighbourhood or home, please reach out to us at .

Ren + Diana


bottom of page