Windsor-Essex Housing Market Update (Fall 2025)

Trends in the Windsor-Essex Housing Market

Average sales prices across all property types are expected to decline by three to five per cent through the end of 2025, with the number of sales projected to fall by a similar amount. Sales will likely require more conversation and follow-up to close. In this skill-based market, with prices stabilizing and inventory increasing, buyers have room to negotiate. To align, sellers should adopt clear, data-driven pricing strategies. Agents who succeed in this environment are those who prioritize follow-up, know their market well and focus on proper staging, rather than relying on a simplistic ‘list it and it will sell’ approach. 

The Windsor-Essex housing market in Q4 2024 experienced a balanced market. Months of inventory in late 2024 was about 3.2 to 3.6 months, and the sales-to-new-listings ratio was about 43 per cent, indicating neither a strong sellers’ nor buyers’ market. This is likely to remain the same for the rest of the year.  As of July there were four months of inventory – slightly more than last year, leaning mildly towards buyer-favourable. Sales-to-New-Listings Ratio was 36 per cent – still in balance but edging toward a softer market. The rest of 2025 will still reward strategic pricing and professional marketing, so expect a steady pace – no major shocks either way. 

The Windsor-Essex housing market is sitting in balanced territory, with a slight edge to buyers –  inventory is up nearly 13 per cent from last year, giving more choice and a bit more negotiating power, while average prices are holding steady at $575,000 (a slight 0.2 per cent increase year-over-year). Homes are taking a bit longer to sell (15 days, versus 13 days last year), and sales volumes are down just under four per cent, showing buyers are more selective but still active. Well-priced, well-presented listings are moving, while overpriced homes linger. 

Move-up and downsizing buyers are driving most sales in Windsor-Essex – homeowners with equity who are adjusting to lifestyle needs are more active than first-time buyers, who remain cautious due to rates and affordability. The region is also seeing retirees and early downsizers becoming more active, especially those cashing out of larger homes, as well as young and middle-aged couples looking to capitalize on increased inventory and more negotiating power compared to the last few years. Barring a major interest rate drop, move-up and downsizing buyers will likely remain the primary drivers through year-end, as they’re less rate-sensitive and more motivated by lifestyle changes than market timing. 

The biggest challenge in the market is a shortage of quality inventory – while properties are available, many do not meet what buyers are actively seeking. Inventory is higher than last year, but many of the extra listings are overpriced, need updates, or are in less sought-after locations, so buyers are taking their time and negotiating harder, leaving those homes to sit longer on the market. As part of their expectations adjustment, motivated sellers and savvy agents are pricing sharper, but many are still anchored to last year’s pricing, which is why those homes tend to linger on the market.  

Consumer confidence is cautious but steady — buyers are more selective, taking extra time to compare options and negotiate, but serious ones are still moving forward when the right home comes along. The biggest barriers in the region are economic uncertainty, affordability, and a shortage of move-in-ready, well-located homes that match current buyer preferences, even with overall inventory on the rise.