A new record has been set in the Greater Toronto Area with the average single-family ground-oriented home now surpassing $1 million, the Building Industry and Land Development Association says.

Figures from its official data source the Altus Group, show that the average price in January was $1,028,395 with prices up 25 per cent in just one year. A new detached house averaged $1,316,325 with a townhouse averaging $879,619.

“The GTA is facing a severe shortage of housing supply, particularly for single-family homes which sell as soon as they come to market,” said BILD President and CEO Bryan Tuckey. “When there aren’t enough homes to satisfy demand, prices increase and that is exactly what has been happening in our region over the last decade.”

The inventory of new ground-oriented homes hit a record low last month, just 1,524 available for purchase compared to 18,000 ten years’ ago.

There was also a decline in availability of new condo units with 11,529 available, a ten-year low. That pushed prices to a new record $507,511 on average for an apartment, up 13 per cent in a year.

“Today in the GTA there are less than half the overall number of new homes available to purchase than there were a decade ago,” Tuckey said. “Lack of serviced developable land, excessive red tape and frequent delays in the development approval process have all been large contributors to our housing supply crisis.”

Are you looking to invest in property? If you like, we can get one of our mortgage experts to tell you exactly how much you can afford to borrow, which is the best mortgage for you or how much they could save you right now if you have an existing mortgage. Click here to get help choosing the best mortgage rate


More market watch: