New home sales and prices up in April

GREATER TORONTO, May 17 /CNW/ - New home sales were up in April 2010, continuing the very strong pace set during the first quarter of the year, minus the froth, the Building Industry & Land Development Association (BILD) announced today.

According to RealNet Canada Inc., BILD's official, independent source of new home market information, there were a total of 3,196 new homes and condos sold in the GTA in April 2010, up 64 per cent over April 2009, based on much higher sales of high-rise condominium suites compared to the same time last year when that market had yet to join in the recovery which was emerging in the low-rise (single-detached, semi-detached, town-homes) segment.

BILD President and CEO Stephen Dupuis noted that while the "froth-factor" has subsided, new home buyers are continuing to respond enthusiastically to new project openings and remain intent on beating factors such as steadily rising prices, higher mortgage rates, the HST and the new mortgage financing rules.

With respect to new home prices, Dupuis noted that the typical high-rise condo suite price is up $25,108 or 6.3 per cent compared with April 2009, while the typical new low-rise home price is up $49,686 or 11.3 per cent versus last April. He attributed the increases to the supply/demand imbalance in the low-rise sector and higher costs including government taxes, fees and levies affecting both the high- and low-rise markets.

Through the first four months of 2010, total new home sales are up 163 per cent compared with the same period in 2009 (all recessionary months) and up 33 per cent compared with the same period in 2008 (pre-recession).

    
    April
     '10         Low Rise             High Rise               Total
    -------------------------------------------------------------------------
                               %                     %                     %
    Region    2009   2010 Change    2009   2010 Change    2009   2010 Change
    -------------------------------------------------------------------------
    Durham     238    223  -6.3%       5      2 -60.0%     243    225  -7.4%
    -------------------------------------------------------------------------
    Halton     295    258 -12.5%       4     27 575.0%     299    285  -4.7%
    -------------------------------------------------------------------------
    Peel       359    523  45.7%      86    151  75.6%     445    674  51.5%
    -------------------------------------------------------------------------
    Toronto     59     33 -44.1%     414  1,239 199.3%     473  1,272 168.9%
    -------------------------------------------------------------------------
    York       438    675  54.1%      53     65  22.6%     491    740  50.7%
    -------------------------------------------------------------------------
    GTA      1,389  1,712  23.3%     562  1,484 164.1%   1,951  3,196  63.8%
    -------------------------------------------------------------------------
    Jan-
     April   3,525  6,612  87.6%   1,492  6,572 340.5%   5,017 13,184 162.8%
    -------------------------------------------------------------------------
    Source:  RealNet Canada Inc.
    

With more than 1,300 members, BILD, formed through the merger of the Greater Toronto Home Builders' Association and Urban Development Institute/Ontario, is the voice of the land development, home building and professional renovation industry in the Greater Toronto Area. BILD is proudly affiliated with the Ontario and Canadian Home Builders' Associations.

For further information: Andrei Zaretski, Manager, Communications, [phone] or [phone], [email protected]; Stephen Dupuis, President, Chief Executive Officer, [phone] or [phone], [email protected]