What’s Happening in the Greater Toronto Area Housing Market?
The average residential sale price in the Greater Toronto Area decreased by 5.1 per cent between 2025 and 2026, declining from $1,088,166 to $1,032,207. Meanwhile, the number of sales increased by approximately 0.2 per cent over the same period, rising from 37,025 to 37,105. Meanwhile, the number of listings decreased by 14.5 per cent, from 119,828 to 102,482.
Looking ahead, average 2026 sale prices are expected to decline by approximately 5.5 per cent compared with 2025 levels, while the number of sales is projected to decline by approximately 0.5 per cent.
The Greater Toronto Area remains a buyer’s market, with higher inflation and interest rates, along with increased economic uncertainty, continuing to weigh on market conditions. Affordability relative to buyers’ incomes is the biggest factor preventing more first-time buyers from entering the market.
According to Cameron Forbes, COO/GM/Broker at REMAX Realtron Realty Inc., the GST/HST rebate has helped support new home sales but has not meaningfully changed the path to homeownership. The rebate has created greater consideration of new homes as an alternative to resale properties in certain markets. The greatest impact of the rebate has been seen among new detached homes, semi-detached homes, and townhomes priced up to $1 million.
Buyers are least willing to compromise on location. However, buyers have shown a greater willingness to purchase smaller homes located closer to work.
According to Cameron, the foreign buyer ban has reduced new construction development activity while improving affordability.
Inflation, interest rates, and economic uncertainty are expected to remain key factors influencing the fall market and continue into 2027.
Frequently Asked Questions
How have home prices changed in the Greater Toronto Area?
The average residential sale price in the Greater Toronto Area decreased by 5.1 per cent between 2025 and 2026, declining from $1,088,166 to $1,032,207.
How have sales and listings changed in the Greater Toronto Area?
The number of sales increased by approximately 0.2 per cent, from 37,025 to 37,105, while the number of listings decreased by 14.5 per cent, from 119,828 to 102,482.
What is expected for Greater Toronto Area home prices in 2026?
Average 2026 sale prices are expected to decline by approximately 5.5 per cent compared with 2025 levels.
What is expected for home sales in the Greater Toronto Area in 2026?
The number of sales is projected to decline by approximately 0.5 per cent.
Is the Greater Toronto Area a buyer’s market?
Yes. The Greater Toronto Area remains a buyer’s market, with higher inflation and interest rates, along with increased economic uncertainty, weighing on market conditions.
What is the biggest barrier for first-time buyers?
Affordability relative to buyers' incomes is the biggest factor preventing more first-time buyers from entering the market.
How is the GST/HST rebate affecting the Greater Toronto Area housing market?
According to Cameron Forbes, COO/GM/Broker at REMAX Realtron Realty Inc., the GST/HST rebate has helped support new home sales but has not meaningfully changed the path to homeownership. The rebate has encouraged greater consideration of new homes as an alternative to resale properties in certain markets.
Which buyers have been most affected by the GST/HST rebate?
The greatest impact of the rebate has been seen among new detached homes, semi-detached homes and townhomes priced up to $1 million.
What are buyers least willing to compromise on?
Buyers are least willing to compromise on location. However, buyers have shown a greater willingness to purchase smaller homes located closer to work.
How has the foreign buyer ban affected the market?
According to Cameron Forbes, the foreign buyer ban has reduced new construction development activity while improving affordability.
What factors are expected to influence the housing market through 2027?
Inflation, interest rates and economic uncertainty are expected to remain key factors influencing the fall market and continue into 2027.
