2023: The Year in Review - December Real Estate Market Update

Vincent and spouseFirst

We hope you've enjoyed a wonderful Holiday Season with a great start into the new year. As 2023 came to an end, it's time to look back to a quite unusual year for Real Estate.

With interest rates at the highest level since 2001, many Buyers put their home purchasing plans on hold. Throughout Toronto and the GTA a total of 65,982 Sales have been reported on the Toronto Real Estate Board - the lowest in 23 years and 12% less than in 2022 and almost only half compared to the record year of 2021 (121,712 Sales).

Prices highest in Spring and August

Although Sales have been low in 2023, the price level in Aurora has been quite stable and somewhat consistent. There has been bit of a boost in spring and, surprisingly, in the month of August.

(Data: TRREB Stratus MLS System)

Similar in Newmarket where the average prices were the highest in May and August.

(Data: TRREB Stratus MLS System)

Although prices in 2023 have significantly dropped compared to early 2022 level, we are now higher on a year-over-year basis. The average price in Aurora in December 2022 was $1,239,509 and came up this December to $1,291,453 (+4%). Newmarket went from $1,049,043 to $1,155,884 (+10%).

Prices in York Region stable

The average price in December in York Region was $1,281,020. That's slightly lower than in the previous months but 1% up on a year-over-year basis.

(Data: TRREB Market Watch)

With interest rates potentially coming down this year, it is expected that the real estate market will rebound. But experts caution not to expect the same frenzy that we saw in 2021 and early 2022.