Torontos high-end home sales defy gravity

The Toronto region continues to lead Canada’s luxury home market with a 77 per cent increase in properties valued over $1 million last year and an eye-popping 95 per cent gain in sales of $4-million-plus properties.Given that the average Toronto area home now sells in the $1 million range, the vigorous sales of real estate in the $1 million to $2 million range isn’t necessarily surprising, said Brad Henderson, CEO of Sotheby’s International Realty Canada, which released its annual luxury home sales report on Wednesday.The gravity-defying success of the top-end of the luxury market, however, is a good indication of the strength of Toronto and the surrounding region, he said."For the Greater Toronto Region to see a 95-per cent year-over-year increase in the number of homes sold (over $4 million) is certainly indicative of a very strong market at all levels,” said Henderson. “There’s no question that in Toronto, anything above $2.5 million to $3 million is definitely considered luxury — so at $4 million plus, it’s definitely the luxury market.”Article Continued BelowSales in the Toronto area rose 86 per cent over 2015 in the $2 million to $4 million residential range, according to Sotheby’s year-end Top-Tier Real Estate Report.It predicts that the Toronto area will continue its lead on luxury housing for a third year in 2017 as a ferocious appetite for property continues to outstrip the supply.Henderson cited the region’s strong employment and above-average GDP growth, inspiring optimism among workers and homeowners compared to other parts of the country.