🏡 December 2025 GTA Real Estate Market Update

2025 wrapped up with softer sales, easing prices, and elevated inventory — creating buyer-friendly dynamics as we head into 2026.

🔍 By the Numbers: December at a Glance

• Total Sales: 3,697 (–8.9% YoY, –26.2% MoM)

• Average Selling Price: $1,006,735 (–5.1% YoY, –3.1% MoM)

• Active Listings: 17,005 (+17.5% YoY, –30.7% MoM)

• Sales-to-New Listings Ratio: ~70%

• Days on Market:

  • Property DOM: 65 days

  • Listing DOM: 41 days

• Months of Inventory: 4.6 months — balanced overall, but favouring buyers

Annual Summary (2025):

• Total GTA Sales: 62,433 (–11.2% vs 2024)

• Annual Average Selling Price: $1,067,968 (–4.7% vs 2024)

• New Listings (Annual): 186,753 (+10.1% YoY)
  (Source: TRREB 2025 Year-End Market Watch Report)

🧠 Top Takeaway

December closed out a year of cooling market activity with fewer sales and softer prices, while elevated inventory continued to give buyers negotiating power — setting up a more balanced, buyer-friendly landscape as we enter 2026.

What's happening locally? Durham Region Market Insights

Every city/town is unique as are the communities within them. Scroll through to find your town.

🏘 Segment Performance (Updated)

Condos

• ~ 27.8% of sales

• ~ 36.3% of active inventory

• 5.99 months of supply → Firm buyer’s market

Detached Homes

• 4.31 months of supply → Balanced conditions

Durham Region

• ~ 3.13 months of inventory → Balanced conditions

City of Toronto

• ~ 4.70 months of inventory → Balanced but leaning toward buyers

These updated figures show that even as some segments remain balanced, condo supply in particular gives buyers strong leverage, while detached homes and certain suburban zones sit in equilibrium.

🏦 Economic & Financing Context

• The Bank of Canada held its policy rate at low levels in December, providing continued relief for borrowers after rate cuts earlier in the year.
  (Source: Bank of Canada 2025–12 Monetary Policy Report)

• Lower mortgage rates, combined with year-over-year price moderation, improved overall housing affordability in 2025 — though many buyers remain cautious until broader economic confidence returns.

• Forecasts from major economists suggest the central bank may hold rates steady into early 2026 as inflation stabilizes and labour markets find firmer footing.
  (Supporting insights: Reuters, Globe & Mail rate outlook articles)

🔄 What’s Changing — and What’s Not

• Sales activity slowed sharply in December, reflecting typical seasonality and broader economic caution.

• Prices continued to trend lower compared to last year, offering improved entry points for buyers.

• Inventory remained elevated, boosting buyer choice and negotiation potential.

• Time on market increased, highlighting the value of strategic pricing and presentation for sellers.

• Macro uncertainty (labour, trade) continues to play a role in buyer deliberation — though positive economic shifts could bring more demand into 2026.

⚖️ Buyer vs. Seller Strategy

For Buyers:

• Enjoy increased selection and stronger negotiating leverage.

• Act when you find a home that fits needs and budget — easing prices and rates support affordability now.

• Monitor interest rate direction and employment data — both could affect pricing and buyer confidence.

For Sellers:

• Price strategically — overly ambitious pricing in a buyer-leaning market can extend time on market.

• Presentation and promotion matter more than ever to help your home stand out.

• In balanced pockets like Durham detached, there’s opportunity, but timing and pricing remain key.

🔮 Quick Verdict

📞 Get our family working for yours

Whether you’re planning to buy, sell, or simply get a grasp of what lies ahead in 2026, we’re here to help you make informed, confident real estate decisions.

👉 Contact us today to build your tailored strategy and navigate this market with confidence.

CONTACT THE JSA TEAM

📌 Supporting Sources (Optional Links)

• TRREB Market Watch & Year-End Report: https://trreb.ca/market-data/market-watch/

• Bank of Canada Key Interest Rate: https://www.bankofcanada.ca/core-functions/monetary-policy/key-interest-rate/

• Rate Forecast & Economic Context:

  • Reuters: https://www.reuters.com/world/americas/bank-canada-done-cutting-rates-least-until-2027-house-prices-rebound-soon-2025-12-05/

  • Globe & Mail: https://www.theglobeandmail.com/business/article-bank-of-canada-expected-to-hold-interest-rate-steady-while-fed/

• Mortgage Trend Insights: https://www.canadianmortgagetrends.com/big-bank-rate-forecasts/

• Canadian Housing Market Sales Trend: https://www.msn.com/en-ca/money/finance-real-estate/sales-in-canadian-housing-market-including-gta-saw-drop-not-seen-in-decades/ar-AA1TPKaQ?ocid=finance-verthp-feeds