GTA Housing Report For April 2025
FLAT in a word…
How is the market? We have seen a slight price decline however the real story is the drop in transactions. Now in many industries when sales volume drops prices fall to entice more transactions. In real estate sellers are very sticky on price with the hopes of getting higher prices for their property. The challenge for buyers is finding a seller who wants to negotiate and sell for a reasonable price.
Major market factors remain the overall economy or the world events the are affecting consumer sentiment and GDP ie. tariffs. The threat of tariffs has been a huge influence giving consumers pause.
When is a good time to buy?
My answer remains, when you need a home.
If you are trying to game the system and buy at the bottom of the market then we are probably close to that however no one really knows until the market goes back up…. just like the stock market.
Things we know:
- Variable Interest rates will continue to drop via Bank of Canada.
- Fixed interest rates will not be as reliable as they rely on Bond Yields which are affected by outside forces.
- Available properties are very high giving us a wide variety of units to view.
- The Condo market is in a frozen state in the core of Toronto. The picture is not the same in other regions so analysis is needed for anything outside of the 416.
- Micro markets are performing differently than the whole so again analysis is important.
- Most over asking attempts are failing. On average only 37% of homes are selling at an Over Asking price. This is regional as well.
- Pre-Construction Default Rate is about 30% ie. (People that bought from a builder are unable to close on their purchase).
- Real Estate Investment has changed. Long gone are the days where you threw down a deposit and assigned the property prior to occupancy pocketing $$. Real Estate is and has always been a buy and hold investment. Pre-Con Flips are failing.
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GTA March Market: More Affordable and More Choice
This is my opinion and should not be taken as investment advice.
GTA March Market: More Affordable and More Choice
TORONTO, ONTARIO, April 3, 2025 – Homeownership in the Greater Toronto Area (GTA) became more affordable in March 2025 compared to the previous year. On average, both borrowing costs and home prices have declined over the past year, making monthly payments more manageable for households looking to buy a home.
“Homeownership has become more affordable over the past 12 months, and we expect further rate cuts this spring. Buyers will also benefit from increased choice, giving them greater negotiating power. Once consumers feel confident in the economy and their job security, home buying activity should improve,” said Toronto Regional Real Estate Board (TRREB) President Elechia Barry-Sproule.
“Given the current trade uncertainty and the upcoming federal election, many households are likely taking a wait-and-see approach to home buying. If trade issues are solved or public policy choices help mitigate the impact of tariffs, home sales will likely increase. Home buyers need to feel their employment situation is solid before committing to monthly mortgage payments over the long term,” said TRREB’s Chief Information Officer Jason Mercer.
GTA REALTORS® reported 5,011 home sales through TRREB’s MLS® System in March 2025 – down by 23.1 per cent compared to March 2024. New listings in the MLS® System amounted to 17,263 – up by 28.6 per cent year-over-year. On a seasonally adjusted basis, March sales were down month-over-month compared to February 2025.
The MLS® Home Price Index Composite benchmark was down by 3.8 per cent year-over year in March 2025. The average selling price, at $1,093,254, was down by 2.5 per cent compared to the March 2024. On a month-over-month seasonally adjusted basis, the MLS® HPI Composite was down and the average selling price was flat.
“While the policy debate heading into the federal election has rightly been focused on our cross-border trade relationship, it has also been important to see that the federal parties continue to view housing as a key priority based on the various election platforms. This is in line with recent polling suggesting access to housing options that are affordable remains
top-of-mind for all Canadians. Building this housing will be a key economic driver moving forward,” said TRREB CEO John DiMichele.
