Toronto-area home sales for December rise as real estate board expects rebound in 2024

Greater Toronto home sales rose 11.5 per cent last month compared with December 2022 as the Toronto Regional Real Estate Board says it expects 2024 to bring a rebound in activity following a year plagued by unaffordability.

The board says last month's 3,444 home sales pushed the annual total to 65,982, a 12.1 per cent decline compared with 2022, with many buyers sidelined last year due to high mortgage rates.

The average home price at the end of the year was $1,084,692, up 3.2 per cent from December 2022.

New listings fell 6.6 per cent to 3,886 in December compared with 4,161 during the same month a year earlier.

The board's chief market analyst Jason Mercer says those who were able to participate in the market last year benefitted from more choice, allowing many of them to negotiate lower selling prices.

He says lower borrowing costs expected in 2024 could create tighter market conditions, contributing to price growth.