Richmond Hill’s growth was the largest in Canada, Royal LePage said in its report released last week.
“I’ve not seen anything that high before, ever,” noted Dianne Usher, senior vice-president at Johnston and Daniel, a division of Royal LePage.
Usher said that improving supply by relaxing restriction and ramping up density would be a realistic solution to the risks posed by the area’s overheated growth.
“We believe the market will continue to be strong, continue to be a sellers’ market, certainly in the short term,” Usher told CBC News, but quickly adding that “the price increases are not sustainable, and if left alone, the market will correct itself.”
Overall, GTA’s housing market saw a price growth rate of around 20 per cent over the last year, with the average price of a single-family home now at $759,241. Condo prices also had similar increases, going up by 11 per cent (up to a $408,908 average).
The developments have made Toronto the undisputable leading driver of the Canadian housing sector’s outsized performance.
“For the first time in several years, real estate markets in Vancouver and Toronto are headed in opposite directions,” Royal LePage president and CEO Phil Soper stated.
“The Vancouver market stalled, as confused consumers took to the sidelines after a series of uncoordinated moves by all three levels of government. With the housing shortage becoming more acute, Toronto easily stepped forward to assume the title of Canada’s most overheated real estate market.”
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The results of the latest housing survey conducted by Royal LePage showed that Toronto’s suburbs have experienced a sharp upward trend in home costs, with Richmond Hill prices spiking upwards by 31.5 per cent and Oshawa values increasing by 28.2 per cent.