In February, the Greater Toronto Area (GTA) saw 25 per cent (76 of 303 total) of its neighbourhoods get into overbidding territory, from 0 per cent the month before, Wahi reports.

An additional 5.6 per cent (17 neighbourhoods) were selling at asking price, while 69.3 per cent (210 neighbourhoods) were in underbidding territory.

November of last year was when any GTA neighbourhoods were in overbidding territory (16 of them).

“While the start of the year was defined by nearly all of the GTA’s neighbourhoods being in underbidding territory, we were still seeing bidding wars break out at specific price points, particularly for houses listed below $1 million,” says Wahi CEO Benjy Katchen.

“Some homes in this price range have been getting a lot of attention, occasionally selling for several hundred thousand over asking — and attracting up to 60 or more offers — even if the overall market trend was one of underbidding,” he adds.

February’s top GTA overbidding and underbidding neighbourhoods

Last month’s top overbidding neighbourhoods were ones from across the region, including parts of Ajax, Brampton, Markham, Pickering and the City of Toronto.

As has happened before, the leading underbidding neighbourhoods generally had higher home prices.

GTA’s condominium market saw less competition

When it comes to condominiums, 7.3 per cent, or 10 neighbourhoods were found to be in overbidding territory last month (up from zero in January).

An additional 4.4 per cent (six) were selling at asking price, and 88.4 per cent (122) stayed at underbid prices.

Seven of the 10 overbidding neighbourhoods for condos were within the City of Toronto, two were in Brampton and one was in Markham.

Source: Wahi

The non-condo segment* was much more competitive, with 88 neighbourhoods in overbidding territory, also up from zero in January.

“Both the condo and non-condo corners of the market are showing signs of heating up, but for now, it appears condo buyers are less likely to face a serious bidding war,” says Katchen.

*The non-condo segment includes any homes without monthly maintenance fees and generally includes detached and semi-detached houses, row homes and townhomes. 

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