The Toronto housing market continued to see more measured activity in September, as economic uncertainty, inflation and borrowing costs influenced homebuyer decisions.
There were a reported 5,040 home sales in September 2026 according to the latest TRREB report, which was 9% below September 2025.
Another 16,500 new listings were added during the month, representing a 14.4% year-over-year change. On a seasonally adjusted basis, both home sales and new listings were also lower compared to August 2026.
“Housing is one of the biggest issues on voters’ minds, and the upcoming municipal election will help shape housing policy across the GTA and Simcoe County for the next four years. The decisions our next mayors and councillors make on affordability, housing supply and the costs associated with buying a home can also influence buyer demand and confidence in the market,” said Toronto Regional Real Estate Board (TRREB) President Daniel Steinfeld.
Home Prices
Home prices also remained more affordable compared to this time last year.
The MLS Home Price Index Composite benchmark was 4.7% lower year-over-year in September 2026.
The average selling price was $1,006,409, about 5.1% lower than September 2025. On a seasonally adjusted basis, average selling price was also slightly lower compared to the previous month.
“We know there is substantial pent-up demand in the GTA, with many households fully intending on purchasing a home in the months ahead. These would-be homebuyers want to take advantage of today’s more affordable housing market, but they need to be confident that their employment situation will remain solid and inflation will not put pressure on borrowing costs over the long term,” said TRREB Chief Information Officer Jason Mercer.
Looking Ahead
There continues to be strong interest from households that are considering purchasing a home in the coming months. More affordable prices may provide opportunities for buyers who have been waiting for improved market conditions.
“Governments must make homeownership more attainable by reducing barriers such as Toronto’s Municipal Land Transfer Tax and opposing its expansion across the GTA and Simcoe County,” said TRREB CEO John DiMichele. “With trade uncertainty and tariffs continuing to affect Canada’s economy, maintaining a strong housing sector is critical to supporting consumer confidence, economic growth, and the significant spin-off spending generated by every MLS® transaction,” continued DiMichele.
Overall, September brought a more measured pace to the Toronto housing market, with lower prices and continued opportunities for buyers. As economic conditions become clearer, buyer activity will be an important trend to watch in the months ahead.
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