One quick look at the average MLS HPI benchmark price performance over time is all it takes to see house prices in Toronto have been increasing steadily and rapidly over the past two years since the beginning of the pandemic.
In fact, Toronto prices are up 24.2% in 2021.
A historic overview of house prices in Toronto
Go back in time using the chart below to find actual prices for single-family detached houses, townhouses, and apartments for the Greater Toronto Area.
As you can see we are on a completely different level compared to the hot market of 2017. In fact, single-family detached houses are 40 percent more than they were at the peak of 2017, whereas townhouses are 43.3 percent more, and apartments 48.8 percent more.
You can find use the MLS Home Price Index (HPI) tool to search sales data back to 2005 here.
What is driving house prices in Toronto?
Low inventory and historically low interest rates combined with the need for more space to work from home and educate children from home have driven the market to new heights and making affordability increasingly difficult.
What do you think? Will the market continue to rise through much of 2022 or will it pull back. Let me know your predictions in the comments below.
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