According to the Toronto Regional Real Estate Board, there were 5,603 home sales in October, representing a 7.9% decrease compared to October 2025. New listings also declined, with 14,173 properties entering the market, down 11.9% year-over-year.
Despite the year-over-year declines, seasonally adjusted home sales and new listings both increased compared to September.
Home Prices and Market Conditions
The Home Price Index Composite benchmark decreased by 4.3% compared to last year, while the average selling price reached $1,024,108, down 2.7% year-over-year.
However, both the benchmark and average selling price edged up on a seasonally adjusted basis compared to September.
“GTA homebuyers continued to benefit from substantial negotiating power on price over the past year. While borrowing costs have increased on the back of higher inflation, the impact on monthly mortgage payments has been mitigated by lower selling prices, helping keep affordability in check,” said TRREB Chief Information Officer Jason Mercer.
Looking Ahead to 2027
Economic conditions and consumer confidence will continue to play an important role in shaping the Toronto housing market. Potential developments, including international trade agreements and greater economic stability, could help encourage renewed interest in homeownership.
“If a Canada-U.S. trade deal is reached, GTA residents could gain a clearer picture of the economic outlook. Combined with a resolution to the conflict in the Middle East, this could help ease concerns about inflation and economic uncertainty, strengthen consumer confidence and renew interest in homeownership as we move into 2027,” said TRREB President Daniel Steinfeld.
Long-term population growth and housing supply will also remain important factors in the region's real estate market.
“While we continue to experience shorter-term volatility in the ownership housing market, we can’t lose track of the fact that the permanent population will continue to grow in our region. Policy announcements, including HST rebates and development charge reductions should help bring a greater diversity of ownership and rental supply online in the medium-term to ensure new families are properly and affordably housed,” said TRREB CEO John DiMichele.
As the year progresses, buyers and sellers will be watching economic developments, housing affordability and market activity to better understand what lies ahead for the Toronto real estate market. Contact me if you have any questions.