All of this adds up to tight supply

Tight Market

Many sellers are hunkering down in place — waiting to see what COVID brings — and as a consequence resale housing supplies have been constrained, which in turn fuels rising prices.

New home construction has also been impacted by COVID, from delays in the municipal building approval processes and approvals to labour, workplace safety and other hurdles for builders who now must deal with social distancing and other measures in workplaces.

The Toronto Regional Real Estate Board reported 10,970 transactions in February 2021, up 52.5% of the previous February.