Heated housing activity throughout 2009 lends little air to bubble theory in the GTA, says RE/MAX

Single-detached housing values remain slightly off peak 2008 levels in 27 per cent of TREB districts

Despite limited inventory levels in the Greater Toronto Area (GTA) in the latter half of the year, double-digit price appreciation failed to materialize in the single-detached housing category in 2009, says RE/MAX Ontario-Atlantic Canada.

In fact, an in-depth analysis by RE/MAX of 63 districts within the Toronto Real Estate Board found that detached housing values in 27 per cent of districts remained slightly off 2008 levels, while 57 per cent reported price appreciation of less than five per cent in 2009. Sixteen per cent of districts recorded an increase in average price in excess of five per cent. No double-digit gains were noted.

"There is simply no evidence of a housing bubble," says Michael Polzler, Executive Vice President, RE/MAX Ontario-Atlantic Canada. "While sales were up considerably over one year ago-and supply was tight in many of the city's hot pocket areas-the expected surge in average price did not occur. Buyers remained cautious in their pursuit of homeownership-with most unwilling to overpay for the privilege."