New ground-related homes hit record-high prices

GREATER TORONTO, Nov. 20, 2014 /CNW/ - The price of a new low-rise home in the GTA reached a new record-high amidst strong sales this October, the Building Industry and Land Development Association (BILD) announced today.

According to RealNet Canada Inc., BILD's official source for new-home market intelligence, low-rise pricing reached $694,629, eclipsing the previous record set just one month prior.

High-rise sales in October showed a moderate decrease of 8 per cent, but remain on par with the 10-year average. The average price of a high-rise home was up 5 per cent to $455,535 as new projects across the GTA introduce larger suite sizes to accommodate consumer preference.

RealNet sales figures for October showed that there were 1,886 new detached, semi-detached and townhomes sold across the GTA, which is up 27 per cent over October 2013 and 19 per cent above the 10-year average.

BILD attributes the strong low-rise sales to a number of new project launches combined with high demand for ground-related housing in the GTA.

"Building homes that people can afford to purchase is a significant challenge for our industry as it affects all current and future residents of the GTA," said BILD president and CEO Bryan Tuckey. "With the gap between the two property types steadily widening, the dream of homeownership is drifting out of reach for many, especially for first-time buyers and new Canadians already challenged to save up for a down payment."

Tuckey explained that escalating prices are a result of constrained land supply, an outdated planning approvals process and increasing government fees and charges across GTA municipalities.

A statistical backgrounder is available for viewing. For additional information, contact Andrei Zaretski or Amy Lazar.

October '14	Low Rise			High Rise			Total
Region	2012	2013	2014	2012	2013	2014	2012	2013	2014
Durham	218	291	242	11	26	40	229	317	282
Halton	100	110	208	33	333	99	133	443	307
Peel	271	392	523	223	78	84	494	470	607
Toronto	12	94	77	1,518	1,471	1,788	1,530	1,565	1,865
York	271	594	836	216	441	147	487	1,035	983
GTA	872	1,481	1,886	2,001	2,349	2,158	2,873	3,830	4,044
Jan-Oct	12,462	10,267	15,579	15,961	13,089	18,634	28,423	23,356	34,213

 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.

SOURCE: Building Industry and Land Development Association

For further information: Amy Lazar, Manager, Communications, 416-391-3452 or 416-543-3903, [email protected]; Andrei Zaretski, Manager, Marketing & Media Relations, 416-391-3450 or 416-843-4898, [email protected]