GTA home sales fell 11.2% last year compared to 2024, report says

Home sales dropped 11.2 per cent in the Greater Toronto Area last year compared to 2024, according to a new report released Wednesday.

“Economic uncertainty weighed on consumer confidence” in 2025, the Toronto Regional Real Estate Board (TRREB) said in its December Market Watch report.

“Over the same period, listing inventory remained elevated, allowing for selling prices to be negotiated downward, helping improve affordability,” the report says.

Realtors in the GTA reported 62,433 home sales in 2025 through TRREB’s MLS system, the report said. New listings numbered 186,753, an increase of 10.1 per cent year-over-year.

The annual average selling price last year was $1,067,968, a drop of 4.7 per cent compared to $1,120,241 in 2024.

Real estate board calls for tax relief to ease cost of living

According to TRREB president Daniel Steinfeld, the GTA housing market became more affordable last year as selling prices and mortgage rates moved lower.

Steinfeld said the “improved affordability” means the market is set up to recover.

“Once households are convinced that the economy and labour market are on a solid footing, sales will increase as pent-up demand is satisfied,” Steinfeld said in a news release Wednesday.

Still, TRREB CEO John DiMichele said the board is urging all levels of government to provide tax relief to help to lower the cost of living.

“Families and individuals need financial breathing room so they can afford a home or apartment and meet their basic needs,” DiMichele said in the release.

“Fair and responsible tax policies can put more money back into people’s pockets, restore consumer confidence, and rebuild trust in the economy. These actions are essential to support stable households and create an economy that works for everyone.”

National projects could boost home sales, official says

TRREB chief information officer Jason Mercer said in the release that federal actions to boost the economy would help the GTA housing market.

“Reaffirmed trade relationships and large-scale domestic economic development projects will be key for improved home sales moving forward,” Mercer said.

In November and December, Prime Minister Mark Carney announced two batches of nation-building projects with the aim of helping Canada become more economically self-sufficient, in the face of U.S. tariffs. 

Mercer added: “GTA households must be confident in their employment situation before committing to long-term monthly mortgage payments, even in this more affordable market.”

Home sales declined 8.9% in December year-over-year

In December 2025 specifically, the report said there were 3,697 home sales reported, a drop of 8.9 per cent compared to December 2024.

New listings entered into the MLS system that month amounted to 5,299, an increase of 1.8 per cent year-over-year.

The average selling price in December 2025, at $1,006,735, was down by 5.1 per cent compared to that of December 2024.

On a seasonally adjusted basis, December home sales dropped slightly month-over-month compared to November 2025, while new listings were up, the report said.