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Monthly Market Updates

Jun 06
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Tree lined residential street with older two story Tudor style

Toronto Real Estate Market Update – May 2025

By Monthly Market Updates

For buyers, sellers, and the real estate-curious, the numbers are in—and they’re telling a story of supply, hesitation, and opportunity.

According to the Toronto Regional Real Estate Board’s (TRREB) May 2025 data, GTA home sales dropped 13.3% year-over-year, totaling 6,244 transactions. Meanwhile, new listings surged by 14% with 21,819 homes hitting the market. That pushed active listings up a striking 41.5% compared to last May, with some months earlier this year even seeing inventory jumps north of 70%.

But more choice hasn’t translated to more action. The average home price slid 4% from May 2024, now sitting at $1,120,879. And homes are taking longer to sell—TRREB data aligns with what we’re seeing on the ground: even well-staged, competitively priced homes are sitting longer than they did last spring (nearly 40 days, in total)

Property Type Insights

If 2021 was the year of the condo bidding war, 2025 is shaping up to be the condo cooldown.

Condo sales dropped a sharp 25% year-over-year. In fact, TRREB notes that fewer condos are trading hands now than during the early ‘90s.

Detached homes haven’t fared much better, but not all segments are in the red. In the 416, semi-detached homes and townhouses posted modest gains—up 1.5% and 3.4%, respectively—indicating that more budget-conscious buyers may be shifting focus to multi-family options.

Toronto Skyline with condos
Toronto Skyline with condos

Economic Factors Influencing the Market

So, what’s behind the slowdown? It’s not just prices or mortgage rates—it’s confidence.

Yes, borrowing costs are down slightly compared to last year, and yes, prices have dipped. But the real wildcard appears to be economic uncertainty.

The Bank of Canada has held its benchmark rate at 2.75% for two consecutive months, offering cautious optimism—but with the federal government’s latest Throne Speech reiterating housing promises without delivering timelines, many buyers remain on the sidelines.

Still, not all economic indicators are gloomy. Inflation cooled to 1.7% in April, and with unemployment rising to 7%, a rate cut could be on the table this summer—a move that would be particularly welcome for first-time buyers and those up for renewal.

Rental Market Dynamics

While the resale market softens, Toronto’s rental market tells a different tale. Rents are creeping up month-over-month, with average unfurnished one-bedrooms renting for $2,148. That’s a 1.02% increase from April, though still about $91 cheaper than the same time last year.

The real shift is in inventory—tenants now have far more options. For landlords, that means more competition. For renters, it may mean finally finding a place that ticks all the boxes—without a bidding war.

Navigating the Current Market

We’re in a transitional phase, not a tailspin. And with change comes strategy.

Buyers: You now have time on your side. Properties are sitting longer, sellers are more flexible, and your window to negotiate has widened. But don’t let analysis paralysis cost you a great home—especially with the potential for rate cuts later this year.

Sellers: The days of ‘list Friday, sold Monday’ are behind us—for now. In a crowded market, pricing smart and staging well are your new best friends. We’re advising our clients to lead with value and market with intention.

Everyone else: Whether you’re upsizing, downsizing, or simply trying to make sense of it all, the right advice matters more than ever. Every neighbourhood, property type, and price band tells a different story.

Thinking of buying or selling in this shifting market?

Let’s talk strategy. Whether you’re looking for your next home or need guidance on listing in today’s conditions, we’re here to help – Book a consultation or reach out anytime.

May 01
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House in Toronto

April 2025 Toronto Real Estate Market Recap

By Monthly Market Updates

April in Review – Affordability Improves, But Confidence Lags

Toronto’s spring market has always set the tone for the year ahead—and April 2025 was no exception. Realtors in the GTA recorded 6,244 sales in May (reflecting April activity), a 13.3% decline from the same time last year. But while the numbers might seem underwhelming, the mood on the ground tells a more nuanced story.

New listings jumped to 21,819, marking a 14% increase year-over-year. That means buyers suddenly have options—a refreshing change after years of limited inventory. With more supply comes less competition, fewer bidding wars, and more room to negotiate.

TRREB President Elechia Barry-Sproule put it succinctly: “Buyers have certainly benefited from greater choice and improved affordability this year. However, each neighbourhood and market segment have their own nuances.”

Translation: the market is shifting, but your experience will depend on where—and what—you’re buying.

Buyers Have Leverage—So What’s Holding Them Back?

Affordability has improved. Mortgage rates have eased slightly. Listings are up. In theory, this should be a slam dunk for buyers. And yet? Many remain cautious.

The average selling price in the GTA was $1,120,879, down 4% year-over-year. The MLS® Home Price Index Composite Benchmark slipped further, down 4.5%. Still, both measures edged up slightly month-over-month, hinting that prices might be stabilizing.

So, what gives? It’s not just about numbers—it’s about confidence and at the moment, there isn’t a whole lot of it!

Want to track the financial factors influencing real estate? Canada Mortgage Trends and Bank of Canada rate updates are great places to start.

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Signs of Life: Month-over-Month Momentum

Despite a cooler year-over-year picture, recent momentum is pointing upward. April to May sales increased for the second straight month. While new listings also rose, they didn’t outpace sales—suggesting mild tightening in market conditions.

Does this mean a full recovery is underway? Not quite. But well-priced, move-in-ready homes—especially in transit-connected or walkable areas—are starting to attract serious attention.

Want a deep dive into the data? TRREB Market Watch has you covered.

What We’re Seeing On the Ground

Here’s what we’re noticing from our conversations and showing schedules:

  • Buyers are crunching the numbers first—and only booking viewings when the math makes sense.
  • Sellers who price realistically (think: post-peak expectations) are getting action. Overpriced listings? Not so much.
  • In-demand areas like the Junction, St. Clair West, and Leslieville continue to draw steady interest—especially for family-friendly, move-in-ready homes.

Got your eye on something unique? Explore Lofts for Sale in Toronto to see what’s out there.

What’s Next? Rate Cuts, Supply Fixes, and Opportunity Windows

TRREB has emphasized that government follow-through on housing initiatives is critical. That means:

  • Lowering excessive taxes and fees
  • Speeding up permitting
  • Encouraging innovation in housing construction

TRREB CEO John DiMichele also noted that a rate cut, especially with inflation cooling, would be a welcome boost for both new buyers and those renewing their mortgages.

Stay informed with:

Final Take – Opportunity, If You’re Ready

Toronto’s April market felt like the start of something. Prices dipped, listings rose, and with that came renewed breathing room. While macroeconomic jitters haven’t vanished, motivated buyers are quietly stepping forward.

If you’re planning a move, now’s a great time to get your ducks in a row—before competition heats up again.

Book a Buyer Consultation to map out your next steps, or send us a message using the form below!

Apr 03
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March 2025 Market Update: More Listings, Lower Prices

By Monthly Market Updates

Let’s kick things off with some good news: homeownership in the GTA just got a little more affordable. Compared to March 2024, borrowing costs are down, home prices have dipped, and monthly payments are easing. For would-be buyers, that’s a welcome shift after years of relentless price growth and tight supply. Sounds like a win, right?

Well… yes and no.

Inventory Surges While Sales Slow

According to TRREB, 5,011 homes sold in March 2025 — a sharp 23.1% decline compared to the same time last year. Meanwhile, 17,263 new listings hit the market, representing a 28.6% year-over-year increase. That’s a notable rise in inventory, but fewer transactions are closing.

This growing disconnect between supply and demand signals a deeper shift in buyer behaviour. Whether it’s higher interest rates earlier in the year, uncertainty around employment, or just the overwhelming number of options, buyers are taking their time. They’re comparing, calculating, and — more often than not — waiting.

“Once consumers feel confident in the economy and their job security, home buying activity should improve,” said TRREB President Elechia Barry-Sproule.

In other words, this is more about psychology than pricing. Confidence — or the lack of it — continues to shape how and when deals get done.

Prices Dip, Then Flatten

The MLS® Home Price Index Composite benchmark dropped 3.8% year-over-year, while the average selling price landed at $1,093,254, a 2.5% decline from March 2024.

Month-over-month on a seasonally adjusted basis? Prices were essentially flat. That stability could suggest we’re nearing the bottom of the current price cycle. While that doesn’t mean prices will suddenly rebound, it does imply we may be entering a phase of price normalization, where the swings aren’t as dramatic — at least for now.

Across the GTA, pockets of opportunity are emerging. Detached homes in outer-416 zones, for instance, are seeing greater price flexibility. And for first-time buyers? Smaller condos, especially in older buildings, may offer better value than they have in recent memory.

King West Views
King West Views

More Affordable, But Buyers Are Cautious

The silver lining this month is clear: affordability has improved. With lower borrowing costs, more listings to choose from, and sellers increasingly open to negotiation, buyers have the kind of leverage that was virtually unheard of just a few years ago.

Yet many are still cautious. Why?

Between federal election buzz, trade policy uncertainty, sticky inflation, and concerns about job security, it’s a cocktail of hesitation. Add in memories of recent market volatility — and for some, declining home equity — and it makes sense that people want to be sure before making big moves.

“Home buyers need to feel their employment situation is solid before committing to monthly mortgage payments over the long term,” added TRREB’s Jason Mercer.

Anecdotally, we’re seeing more conditional offers, longer decision cycles, and increased reliance on financial advisors and mortgage pre-approvals. This isn’t panic — it’s prudence. And in today’s market, that mindset is driving the tempo.

What We’re Watching This Spring

  • Interest Rate Decisions – Expected cuts from the Bank of Canada could further ease borrowing pressure. If rates fall meaningfully, expect renewed interest in the detached segment.
  • Election Promises – Housing is a key issue across party platforms. Will that turn into meaningful action? Policy clarity could push more buyers off the fence.
  • Buyer Sentiment – Confidence is still the wildcard. If job numbers remain strong and inflation cools, momentum could shift quickly. Until then, a cautious optimism prevails.
  • Investor Activity – With prices soft and rents holding, some investors are eyeing re-entry — particularly in mid-rise buildings and transit-connected nodes.
  • Spring Showings Volume – Foot traffic at open houses is up, but conversions remain slow. If we see a rise in accepted offers heading into May, that may mark a true turning point.

Final Thoughts

Yes, affordability is improving and options are expanding. But for now, many buyers are keeping their hands in their pockets. That said, markets like this can create rare opportunities — especially for those willing to move when others wait.

If you’re thinking about buying, selling, or just want to understand where you stand, let’s talk. Whether you’re upsizing, downsizing, or exploring a new neighbourhood, we’ll walk you through what’s moving (and what’s not) — and help you navigate every step with clarity.

Mar 01
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Aerial view of the Joel Weeks Park in Toronto

February 2025 Toronto Real Estate Market Update

By Monthly Market Updates

A Cooler Month, But Buyers Hold the Advantage

February 2025 delivered another month of subdued sales across the Greater Toronto Area (GTA) real estate market—but for buyers, the upside was choice. TRREB reported just 4,037 sales through the MLS system, marking a 27.4% decline compared to the same time last year. However, new listings climbed 5.4% year-over-year to reach 12,066. That surge in inventory gave buyers the upper hand in negotiations, especially those less reliant on financing.

So why the slowdown? In a word: affordability. Mortgage rates are still biting into monthly budgets, keeping many would-be buyers on the sidelines – the desire to buy is there, but the numbers don’t yet pencil out for the average household.

Average Prices Dip—But There’s Context

With demand down and supply up, prices followed suit. The average selling price across the GTA landed at $1,084,547 in February—down 2.2% from a year earlier. The MLS Home Price Index (HPI) Composite benchmark dipped 1.8% over the same period.

Month-over-month metrics (adjusted for seasonality) also edged slightly lower, suggesting softness in the short term. But this isn’t necessarily a red flag. Market lulls this time of year aren’t unusual, and we’re still navigating some choppy economic waters.

Confidence in Limbo: Rates, Trade & Political Unknowns

Beyond borrowing costs, there’s a broader confidence issue brewing. TRREB Chief Market Analyst Jason Mercer highlighted that some buyers appear to be adopting a wait-and-see mindset. Concerns about Canada’s trade relationship with the U.S. and uncertainty around provincial and federal housing policies have added to the hesitancy.

What happens next may come down to two things: policy clarity and interest rate direction. A decline in borrowing costs—which many economists expect by mid-2025—could help reinvigorate the market. But consumers will likely want more reassurance about economic stability before jumping in.

What to Watch for This Spring

There’s still room for optimism as we move toward the busier spring market. A few key things to watch:

  • Rate relief: Even a modest drop could expand affordability for first-time buyers.
  • Inventory pressure: With listings up, sellers may need to sharpen their pricing.
  • Confidence comeback: If political and trade tensions cool, pent-up demand could be unleashed.

We’re not in recovery mode just yet—but the foundation is being laid.

Should You Buy Now or Wait?

The answer depends on your situation. For upsizers, downsizers, and cash-ready buyers, today’s inventory-heavy market offers more choice and more leverage than we’ve seen in years. If you’re in a position to act, this lull could be an opportunity.

That said, if your budget is tightly tied to interest rates, waiting a few more months could mean accessing more purchasing power.

One thing remains clear: Toronto’s real estate market is still very neighbourhood-driven. While the overall stats show a slowdown, specific pockets might tell a different story. As always, smart strategy starts with local insight.

Want to chat further? Send us a message below!

Feb 04
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View of Toronto City from above - Toronto, Ontario, Canada

January 2025 Toronto Real Estate Market Update: A Steady Start with Spring Optimism Ahead

By Monthly Market Updates

A Cool Start to the Year—But Don’t Let That Fool You

If you judged 2025 by January alone, you might think we were in for another sluggish year. Realtors reported 3,847 home sales through TRREB’s MLS® System, which marked a 7.9% decline compared to January 2024. But zoom in and you’ll see a different story: seasonally adjusted sales actually increased from December 2024. Momentum, it seems, is starting to build.

On the supply side, there’s been a dramatic shift. New listings surged 48.6% year-over-year, reaching 12,392. This uptick suggests that sellers are feeling more confident heading into the spring market, giving buyers more options to work with.

Price Trends Show Stability, Especially for Single-Family Homes

While transaction volumes dipped, prices remained surprisingly steady. The average selling price across the GTA hit $1,040,994, up 1.5% compared to the same time last year. The MLS Home Price Index Composite Benchmark also posted a modest gain of 0.44% year-over-year.

What does this mean? In a word: balance. Condos remain plentiful and price growth is muted. But for single-family homes, especially in tight-supply pockets, values are inching upward. TRREB expects this trend to accelerate as borrowing costs continue to ease.

TRREB’s 2025 Forecast: More Sales, Moderate Price Growth

If January is the warm-up, the rest of 2025 could be the main event. TRREB forecasts 76,000 total home sales this year—a 12.4% increase over 2024. This optimism stems from one major factor: lower mortgage rates.

More affordable borrowing means more would-be buyers will step off the sidelines. TRREB anticipates the average GTA home price will reach $1,147,000 by year-end, a 2.6% bump that keeps pace with inflation.

This isn’t a return to bidding-war chaos—and that’s a good thing. It’s a sign of a healthier, more sustainable market.

The Bigger Picture: Supply, Confidence, and Collaboration

Beyond numbers, TRREB’s annual outlook highlights a structural message: Toronto needs more diverse housing.

From purpose-built rentals to townhomes and multiplexes, the GTA’s future depends on supply that fits real-world budgets. TRREB President Elechia Barry-Sproule emphasized the need for “missing middle” options, while CEO John DiMichele pointed to the hurdles: development charges, taxes, and red tape that slow down new builds.

If affordability and traffic congestion are interconnected challenges, then coordinated solutions are the only way forward. We need policy that encourages building — not barriers that stall it.

What This Means for Buyers and Sellers Right Now

With inventory up and prices still relatively stable, the early-year market presents real opportunity for both buyers and sellers.

For buyers: now is the time to revisit that mortgage pre-approval, build your wishlist, and line up financing ahead of a likely busier spring.

For sellers: increased listings mean more competition. Proper pricing, presentation, and marketing matter more than ever. If you’re thinking of moving, acting early might just give you an edge.

Curious about how these trends affect your specific neighbourhood or property type? Let’s connect—we’re always happy to translate market shifts into smart real estate moves.

Want to learn more about Toronto condo prices or explore why purpose-built rentals are gaining traction? We’ve got you covered.

Jan 03
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Winter on Toronto Islands CN tower

Toronto Real Estate Market Update: What December 2024 Revealed About a Year in Transition

By Monthly Market Updates

According to the Calendar… It’s December. According to the Market… We’re in Transition.

2024 ended with more listings, a little more movement, and still a whole lot of waiting. While many hoped for a year of price rebounds, what we got was something far more nuanced: a market full of choice, cautious optimism, and plenty of negotiating room—especially in the condo space.

So, what did December numbers—and the year as a whole—really tell us?

Let’s dig in.

Toronto’s December Market at a Glance

Sales + Listings Snapshot

December closed out with 3,359 home sales across the GTA—a slight dip compared to the same time last year. That said, new listings continued to rise, extending the fall trend of a market that’s heavy on supply and light on urgency.

Prices Stay Subdued

The average selling price for December sat at $1,067,186, down marginally year-over-year. The MLS® Home Price Index Composite Benchmark ticked up by less than 1%, pointing to price stability, not growth.

In short: prices didn’t crash, but they didn’t climb either.

2024 in Review – A Market Defined by Caution and Choice

Year-End Totals

  • Total 2024 sales: 67,610 (↑ 2.6% from 2023)
  • New listings: 166,121 (↑ 16.4%)
  • Average price: $1,117,600 (↓ 0.8%)

Inventory grew at a much faster pace than buyer activity. The result? More selection, more time to make decisions, and more leverage for those who were ready to buy.

Why Buyers Held the Upper Hand

Two words: interest rates.

High borrowing costs remained a major hurdle for much of the year. While many homeowners stayed put, buyers were only willing to act when the price—and the carrying cost—was right. That restraint kept prices in check and pushed sellers to meet the market.

Houses Held Strong—Condos, Not So Much

Detached and Semi Sales Rebounded

Ground-oriented homes saw a modest bounce. In fact, single-family home sales were up in 2024—especially in the 416, where family-friendly inventory remains tight. Prices here held up better thanks to ongoing demand and less investor involvement.

Condos Took a Hit

The condo market, on the other hand, faced a tougher climb. Many first-time buyers continued to wait for deeper rate cuts, while investor interest waned under the pressure of high holding costs.

Bottom line: it was a soft year for condos, especially in the downtown core.

What Changed Mid-Year? Two Words: Interest Rates

The Bank of Canada issued two back-to-back rate cuts in the second half of 2024—moves that many hoped would reignite activity. And while the full impact hasn’t played out yet, it did shift buyer sentiment.

By year-end, some sidelined buyers began to re-engage—but cautiously. The next few months will show whether this was just window shopping or the start of a stronger market push.

What’s Next in 2025?

If borrowing costs continue to fall and prices remain below historic peaks, we could be in for a more active spring. That said, the gap between buyer expectations and seller reality hasn’t closed yet.

Expect condo prices to stay soft for now, while detached homes in desirable areas may attract more competition as affordability improves.

A few trends we’re watching:

  • Renewed interest in pre-construction condos (if incentives return)
  • Growing rental demand as buyers remain cautious

Final Thought – Still Watching, Still Waiting

Toronto’s real estate market didn’t boom or bust in 2024—it reshuffled.

With buyers calling the shots and sellers recalibrating, we’ve entered a phase that rewards patience, planning, and professional advice. Whether you’re considering upsizing, downsizing, or entering the market for the first time, early 2025 may offer one of the most balanced playing fields we’ve seen in years.

Ready to Make a Move?

If you’re thinking of buying, now might be one of the most negotiable markets we’ve seen in a while. And if you’re selling, strategy matters more than ever. Get touch with us by leaving a comment below!

Dec 01
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Interior of Condo

November 2024 Toronto Real Estate Market Update

By Monthly Market Updates

November Snapshot – Sales Surge, Prices Nudge Up

According to the calendar… 2024 is nearly in the rearview. According to the data? The recovery may have already begun.

In November 2024, GTA home sales shot up 40.1% compared to the same time last year, clocking in at 5,875 sales. While new listings also increased, they rose by a much softer 6.6%—tightening market conditions and pushing average prices upward. The average selling price across the GTA reached $1,106,050, up 2.6% year-over-year.

On a seasonally adjusted basis, November also showed an uptick from October, suggesting that buyer confidence is returning earlier than expected.

Detached Homes Lead the Way

It’s detached homes that are doing the heavy lifting. With lower borrowing costs easing monthly payment pressure, many buyers are upgrading from condos or entering the market directly into low-rise homes.

The result? Detached properties, particularly in the City of Toronto, saw price growth that outpaced inflation. This segment continues to outperform as buyers prioritize space, privacy, and long-term value.

Condos Still Soft, But Opportunities Are Brewing

While freehold homes heat up, condos remain cool. Average prices for condominium apartments are still lower than a year ago—largely due to continued high inventory.

But here’s the upside: buyers have more negotiating power than they’ve had in years. This opens a window for renters who’ve been watching mortgage rates with interest. As borrowing costs continue to trend downward, we may see condo demand quietly rebound heading into spring.

What’s Driving the Shift?

The stage was set in early 2024: inflation finally began cooling, and with it came the start of a downward trend in borrowing costs. After months of waiting, many buyers are stepping off the sidelines.

Add in lower average prices (still well below peak levels), and the result is a more accessible market—with pent-up demand ready to ignite.

What This Means for Buyers and Sellers

If you’re a buyer, be strategic. Detached homes are tightening quickly, especially in prime pockets of Toronto. If you’ve been eyeing a condo, this may be your best shot to secure a deal.

For sellers, especially those in the low-rise segment, the outlook is promising. With fewer listings and more active buyers, properly priced homes are drawing attention—and offers.

Chart: GTA Market by the Numbers (Nov 2023 vs. Nov 2024)

MetricNov 2023Nov 2024% Change
Home Sales (GTA)4,1945,875+40.1%
New Listings10,87411,592+6.6%
Avg. Selling Price (All GTA)$1,078,900$1,106,050+2.6%
MLS HPI Benchmark↓ sharper drop↓ just 1.2%Improving

Looking Ahead – What Will 2025 Bring?

Will the Bank of Canada make further cuts? Will condo inventory finally shrink? Can first-time buyers take advantage of winter pricing before the usual spring surge?

The signs are pointing to an earlier-than-expected rebound. And while interest rates and inflation remain moving targets, buyer optimism is trending up.

Final Thoughts + What You Can Do Next

November’s market offered a glimpse of what 2025 might hold: more activity, tighter inventory, and renewed confidence. If you’re planning to make a move, now’s the time to build a strategy.

Ready to Talk Strategy?

Let’s break down your options over coffee—or Zoom. Whether you’re renting, buying, or just exploring, we’ll help you build a plan that works for 2025 and beyond.

Nov 11
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aerial photo of high rise building

October 2024 Real Estate Market Update: Signs of Life in October

By Monthly Market Updates

As we transition from fall to winter, the Toronto real estate market is showing renewed signs of life! October has brought a refreshing change, characterized by increasing transactions, shifting inventory, and evolving market dynamics. In the latest episode of our ongoing real estate series, Mark and Joey dive deep into the numbers to decipher what the current market trends indicate for the upcoming months. Here’s a summary of October’s real estate market highlights and future projections based on the duo’s insights, or follow along in the video below:

Toronto’s October Market Overview

We kick off the discussion with the notable resurgence in Toronto’s sales, marking a significant 44% increase. While media reports couldn’t seem to say enough about the “whopping” growth, Mark cheekily substituted the term with “double chocolate chunk cookie” in his readings to lighten repetitive coverage and offer an entertaining take on serious developments.

Sales Surge and Inventory Insights

The data reveals October as the third busiest month for transactions, with a reported 6,658 sales, jumping from the mid-high 4,000s seen in previous quarters. Notably, this shift is understood as a carryover from September’s transactions, which only firmed up in October due to procedural delays like financing and home inspections. Despite new listings dropping by around 15%, there remains an active presence in the market with around 24,000 active listings.

For buyers and sellers navigating these waters, the continuation of a buyer-friendly market remains uncertain, with predictions suggesting a potential shift towards sellers as we inch closer to 2025.

white kitchen room set

Price Trends and Market Segments

Average prices have experienced a modest but promising increase of 1.5% month-over-month, and a considerable 10.5% from January to October. Within market segments, condos have demonstrated resilience, recording a 34% year-over-year increase in sales, alongside a 46% rise for semi-detached homes.

Townhomes too saw a notable boost, with average prices crossing the million-dollar mark. New mortgage rules, anticipated to be implemented by mid-December, may further impact the townhome segment by facilitating greater accessibility for buyers through lowered down payment requirements on high-value properties.

Market Dynamics and Projections

Despite these positive signs, days on market have remained at 43, suggesting a potential cleanup of existing inventory rather than a complete market revitalization. Mark and Joey highlight that while firm trends are beginning to emerge, the market is not yet seeing the explosive growth of past years; instead, a steady increase points towards a healthier balance in the future.

Reflecting on months of inventory, an essential market indicator, Joey notes a dramatic decrease across almost all housing types, moving several segments back into a seller’s market. This rebound signifies a tightening inventory conducive to increased competition and dynamic pricing.

Conclusion

As we advance into the winter months, Toronto’s real estate market is poised for a cautious but promising revival. With sensitively optimistic projections, Mark and Joey foresee the potential for a more stabilized market by mid-2025, potentially favoring sellers if current trends persist. This measured growth contrasts sharply with the previous year’s volatility and suggests a healthier, more sustainable market dynamic on the horizon.

P.S. Don’t forget to subscribe to our newsletter for more real estate insights and market updates!

Oct 09
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bird s eye view of rooftops

September 2024 Real Estate Update: Trends in Toronto’s Housing Market

By Monthly Market Updates

As we usher in the final months of 2024, Toronto’s real estate market continues to offer a medley of surprises and opportunities. While September wrapped up the third quarter, the dynamics of the market remain as intricate as ever. In our recent conversation, we dissected the trends and indicators that shaped September’s numbers. If you’re keen on understanding the market movements and getting some valuable advice, keep reading, or watch our latest podcast below!

Quarterly Trends and September Standstill

The third quarter traditionally provides a clearer picture of real estate tendencies, and while many hoped September would be a frontrunner, the month proved lacklustre. Despite the anticipation, the market remained in transition with slow movement. The contributors? A myriad of buyers remain on the sidelines, evaluating how low interest rates might dip. Consequently, we saw only marginal changes in market dynamics. Mark emphasizes that the market needs an aggressive rate cut from the Bank of Canada to shake things up.

The Current Market Landscape

1. Transaction Analysis – Detached & Semi vs. Condos & Townhouses

September showcased diverging paths for different property types. Detached and semi-detached homes experienced a remarkable uptick in transactions with 23% and 35% increases, respectively. In stark contrast, townhouses and condos saw a dip, with transactions falling by 6%. Mark noted a clear market segmentation, underscoring that while semis and detached houses remain competitive, condos present more opportunities for buyers right now. Interestingly, September was the slowest month for condo transactions in 2023, reflecting a return to January levels.

2. Pricing Patterns

Pricing trends saw notable shifts as well. Condos, after experiencing a significant drop in August, have bounced back, breaking the trend with an average price of $707,000. However, these figures still reflect sentiment challenges in the condo market. On the other hand, towns and semis rose by 8% month-over-month, while detached homes hovered at an average of $1.685 million, showing no major changes.

3. Days on Market and Inventory Insights

Days on the market—a critical indicator of market health—remained telling, with averages back to Q1 levels, roughly 41 days. Despite three rate cuts since the year’s start, the time it takes to sell property remains lengthy, testament to the broader market stagnation. Inventory levels increased more than anticipated. As Joey notes, our September hopes for better performance veered off due to bolstering inventory, influenced by sellers holding back during the summer.

 

Predictions for the Winter and Beyond

Looking forward, many indicators point towards a potential rate cut by the Bank of Canada in late October, which could turn the tide come winter. There’s a shared belief that the dark days may be behind us; a moderate cut might deliver a pressing urge for buyers to jump in before the spring market. The conversation suggests shrewd buyers should act now, especially given the December holiday lull could provide an advantageous opening.

Opportunities in the Condo Market

For potential buyers, the condo market is ripe for transactions, especially in the face of looming rate cuts. Currently, the sentiment is unfavorable towards condos; however, Mark and Joey clarify that this presents a tremendous opportunity to purchase when other’s perceptions are negative. Deals abound, and there is optimism that once rent demand resurges, condos will quickly return to favor.

Conclusion

As the Toronto real estate market closes the year, it’s a time of opportunity and caution. Buyers need to tread carefully but boldly in a market ripe for strategic acquisition, particularly in the condo sector. Remember, every market shift is a step toward a new equilibrium. As we eagerly anticipate the next Bank of Canada announcement, the best advice is to remain informed and ready to act on market signals. Whether you’re ready now or inclined to wait, having a solid grasp on these market nuances will serve you well in navigating these evolving waters.

In essence, September’s insights give us valuable lessons and strategies to make the most out of a waiting game, promising that those proactive might just ride the crest of the upcoming wave!

Sep 11
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Famous landmark Toronto, Canada

August in Real Estate: A Month of Predictable Challenges and Golden Opportunities

By Monthly Market Updates, Toronto

Welcome to our deep dive into the real estate market’s August performance. This month, as predicted, played out with some key insights and opportunities that potential buyers should take seriously. Here’s what you need to know about August’s numbers and trends in the Greater Toronto Area (GTA).

 

August in Toronto Real Estate: A Recap

August has traditionally been a slow month for real estate, and this year was no exception. As many people took vacations and the hustle of preparing for the school year began, the real estate mindset took a backseat. The result? A predictably slow month in terms of transactions and new listings. Notably, August recorded less than 5,000 sales, the second slowest of the year, reminiscent of January. “Sales” here strictly refers to transactions, not a depreciation in property valuation. Realtors and potential buyers were difficult to reach, many being away in regions like Europe or cottage country. New listings witnessed a notable drop as well, aligning with the expected seasonal trend. With fewer realtors advising clients to list in August, this drop wasn’t necessarily a negative outcome. Instead, it created a strategic opportunity for those who did choose to list.

Key Observations and Trends

Active listings did show a downturn for the first time this year, decreasing by a thousand to 22,600. While not significant, this drop is noteworthy as the first sign of potential shifts in market absorption. It is an aspect we’ll keep an eye on moving forward. What caught our attention was the average price movement, especially for condos. August saw a substantial decline in average prices to $1,074,425, marking a return to figures equivalent to early 2023 or even late 2022. This rollback presents a noteworthy purchasing opportunity for those in the market.

A Golden Opportunity for Buyers

Condos, surprisingly, had the least drop in transactions at 7.25%, despite their price adjustment. In contrast, semi-detached homes faced a 22% drop. This disparity highlights a classic case of supply impacting market value, offering condo buyers a prime chance to enter the market at a relatively lower price point. For sellers, this market requires flexibility. It’s not the most favorable time to sell unless necessary, so navigating current conditions with an open mind to negotiation is crucial.

Why Now is the Time to Buy

For the potential buyers on the sidelines—now is a great time to consider stepping into the real estate market. Prices have reset to a point reminiscent of less competitive market conditions, providing an entry level that might not last long. While the market remains tight for sellers, the flexibility and potential for negotiation create a compelling case for buyers.

Conclusion

Overall, August reaffirmed some of the traditional patterns we associate with this end-of-summer month. While sales slowed due to seasonality, the reduction in condo prices signals a window of opportunity. As we move forward, keeping an eye on September’s performance will be essential in detecting emerging trends and preparing for market shifts. Remember, the key in real estate is timing and preparation, and for buyers, this August may have laid a golden path forward. Stay informed, stay strategic, and you might just find your ideal opportunity in today’s dynamic market.