August new home sales up 62 per cent

TORONTO , Sept. 22 /CNW/ - Sales of new high-rise condominium suites stabilized in August while sales of new low-rise (single-detached, semi-detached and town-homes) homes spiked by a dramatic 163 per cent, resulting in a 62 per cent increase in total new home sales, August over August, the Building Industry & Land Development Association (BILD) revealed today.

According to RealNet Canada Inc., there were 3,074 new homes and condos sold in the Greater Toronto Area in August, 2009. Monthly high-rise sales were up for the first time this year, albeit very modestly, while low-rise unit sales continued on the exceedingly hot pace of the last several months.

BILD President and CEO Stephen Dupuis attributed the surge in sales to homebuyers recognizing that homebuilders are offering some of the best prices they might ever see, and seizing the opportunity. "It's the exhilaration of a bargain," Dupuis asserted.

Dupuis added that first-time homebuyers are particularly active in the market, taking advantage of the combination of attractive prices and ultra-low interest rates to make their market entry. "The return of the first-time buyer is always a very healthy sign and is a clear indication of the great value that builders are offering today," he said.

Dupuis sounded a cautionary note that total new home sales year to date are still running 18 per cent behind 2008, which was not exactly a banner year for the industry. "This is a relative recovery which needs to be nurtured. We are not out of the woods and the industry cannot absorb any increases in government-driven taxes, fees and levies," he concluded.

    
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    August      Low Rise             High Rise              Total
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    Region    2008   2009 % Change  2008  2009 % Change  2008   2009  %Change
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    Durham     152    256   68.4%      8     5  -37.5%    160    261   63.1%
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    Halton     129    313  142.6%     25    13  -48.0%    154    326  111.7%
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    Peel       139    489  251.8%    107    52  -51.4%    246    541  119.9%
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    Toronto     63     82   30.2%    942 1,033    9.7%  1,005  1,115   10.9%
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    York       223    723  224.2%    104   108    3.8%    327    831  154.1%
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    GTA        706  1,863  163.9%  1,186 1,211    2.1%  1,892  3,074   62.5%
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    Jan-
     July   10,058 11,144   10.8% 11,530 6,639  -42.4% 21,588 17,783  -17.6%
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    Source: RealNet Canada Inc.
    

With more than 1,400 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: Cynthia Breen, Manager, Communications, [phone] or [phone], [email protected]; Stephen Dupuis, President, Chief Executive Officer, [phone] or [phone], [email protected]