House prices in Toronto continue to soar

Homes are getting harder and harder to afford in the Greater Toronto Area.

The Toronto Real Estate Board says the average price of homes sold in the G-T-A last month soared 27.7 per cent from a year ago to 875-thousand, 983-dollars.

The board is citing a listing supply crunch and says until there is a marked increase in the number of homes available for sale, buyers can expect very strong annual rates of price growth to continue.

Concerns have mounted that home prices in Canada's largest city have spiralled to the point where policy-makers need to step in they way they did in Vancouver, where a number of measures have been implemented including a tax on foreign buyers.

So far, the Ontario government has resisted any intervention.