The number of detached houses in Toronto is down nearly 25 per cent this year compared to the same period last year, but a housing crash is far from over.
A report from real estate data firm CoreLogic shows the number of units in detached houses is up just 3 per cent compared to last year.
The number is still down from a year ago, when detached houses were up 9 per cent.
“The slowdown in sales is not over yet,” said Tom Stuckart, vice-president of research at CoreLogics.
“There’s still some slack, but we still have a long way to go to recover.”
A slowdown in home sales is a serious concern, said Peter Farrar, a Toronto real estate agent.
“I’m not surprised at all that there’s a bit of slack in sales,” he said.
“If the housing market continues to slow, that’s a serious issue.”
The number dropped 1 per cent in the three months to the end of March, down from 1.7 million units in the same time period last April.
CoreLogs report shows detached house sales in Toronto are down 13 per cent from a record high in April of 2015, with the number down 9 per to 7.9 million.
The condo market is also experiencing some slack.
The report shows sales of condos in Toronto increased by 4.5 per cent to 3.3 million units during the same three-month period last March.
The condominium market is expected to recover from a slump in sales.
“Condo sales are expected to continue to be up,” Farrars said.
The housing market in Canada’s largest city is the subject of a national housing affordability crisis.
Statistics Canada reported on Friday that Canada’s overall average price is down 10.6 per cent over the past year, the third consecutive year of declines.
The average price of a home in Toronto has dropped by more than $300,000 since the end, according to CoreLog.
“You’re seeing this slowdown in prices, but that’s only the beginning,” said CoreLog’s Farrara.
“It’s not the end,” he added.