Economic Impact of MLS® Home Sales and Purchases in Ontario (2017)
Resale housing transactions across Ontario generate significant economic activity. A summary of the 2017 Altus Report is below; for the full report, please contact us.
Estimated expenditures generated by the average housing transaction (2015): $67,425
Average annual spin-off benefits of MLS® activity (2014-2016): $14.9 Billion
Average annual direct & indirect employment generated by MLS® home sales (2014-2016): $98,475
Resale housing transactions across Ontario generate significant economic activity. The purchase and sale of homes via the MLS® generates fees to professionals such as lawyers, appraisers, real estate agents, surveyors, etc., as well as taxes and fees to government. In addition, when people move house, they typically purchase new appliances or furnishings and undertake renovations that tailor the new home to specific household requirements. On a per household basis, economic contributions from MLS® home sales and purchases have been rising over the long term.
Estimated Expenditures Generated by the Average Housing Transaction – 2015 $67,425
- General Household Purchases $4,000
- Furniture & Appliances $8,325
- Moving Costs $1,850
- Renovations $19,000
- Services: Financial, legal, appraisal, survey, other $22,925
- Taxes (excluding GST) $10,825
A transaction is defined as the sale of a home by a vendor to a purchaser and all ancillary
expenditures typically associated with the change of ownership.
Average Annual Spin-Off Benefits of MLS® Activity – 2014 to 2016 $14.9 Billion
- More than 48% of spin-off benefits were generated in Ontario alone
Average Annual Direct & Indirect Employment Generated by MLS® Home Sales – 2014 to 2016 98,475
- Direct (i.e. construction, appliances, real estate sectors) $66,805
- Indirect (i.e. industries providing goods/services to direct round) $31,670
*Ontario jobs benefited the most among the 10 provinces
Sources: The Canadian Real Estate Association (CREA®), Altus Group Economic Consulting, Statistics Canada