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Part of the attraction for consumers could be prices, with the average index selling price for new condo apartments up only two per cent from a year ago to $582 per square foot. Toronto’s core had the strongest growth because of supply constraints, but prices there were up only four per cent from a year ago to $662 per square foot.

Growth in prices in the resale market for condominium apartments was even stronger, up 10 per cent from a year ago to $498 per square foot.

“With demand for condos in the GTA pressing forward strongly, new projects are being challenged to enter the market in greater volume. Should current conditions persist, price pressures for high-rise units can be expected to build, particularly as low-rise housing remains afflicted by record-low supply,” said Shaun Hildebrand, senior vice-president at Urbanation.

The Urbanation report comes on the heels of statistics released by the Toronto Real Estate Board Thursday, which showed it was the best July on record for the GTA’s existing home market.

TREB said the average price of detached homes in the city of Toronto was up 20.7 per cent from a year ago, at $1,202,753. But across the GTA, the average price of an existing detached home is now $952,983 — closing in on the $1 million point reached by new homes earlier this year.

“I believe the affordability and inventory issues plagued by the low-rise market is pushing more demand over to condos. Buyers that would have otherwise bought a house in Toronto are opting for larger condos. And with not a lot of supply of these units in the resale market, new condos have seen rising demand, which is leading developers to shift strategies and include more two bedroom and three bedroom units,” Hildebrand said .