Toronto Market Analysis

We know your market and here’s where we prove it.

Below you’ll find the latest statistics on what’s going on in the Toronto area and our take on what it means.  We do that by answering three questions for you.

Let’s get started.

Let’s review the big picture before we get into the details below. In May, sales in Toronto dropped by about 3% compared to April. At the same time, the average sale price rose by about $19,000. On the supply side, new listings rose by about 4% compared to April. When we put it all together, May was a mixed month, with fewer sales but prices still moving higher.

Let’s look at the specifics for what was going on in Toronto in our three big categories.

If we begin by looking at the number of sales that happened in May, we saw the number of sales drop to around 2,300 for the month.

What’s it mean?

When we review the number of sales in Toronto, we see that there were 2,307 sales in May, compared to 2,375 sales in April. That was a modest decrease, with sales down about 3% from April, or 68 sales lower month over month. Compared to May of last year, sales were down about 2%, or 51 sales lower.

If that’s the market as a whole, what happened in the condo market?

Looking specifically at condo apartment sales in Toronto, there were 940 sales in May, compared to 1,043 sales in April. That was a meaningful decrease, with condo sales down about 10% from April, or 103 sales lower month over month. Compared to May of last year, condo sales were down about 2%, or 24 sales lower.

In terms of prices, May saw the average price for a home in Toronto rise to approximately $1,116,000.

What’s it mean? 

While how many sales took place is important, the big question is what happened to the average sale price in Toronto in May? In April, the average price was approximately $1,097,000, and in May, it was about $1,116,000. That was a small increase, with the average price up about 2% from April, or $19,000 higher month over month. Compared to May of last year, the average price was down about 3%, or roughly $39,000.

Tale of two markets – what’s going on with condos?

Condo prices can move differently than the broader market, so it is worth looking at them separately. In Toronto in May, the average condo sale price was about $677,000, compared to approximately $677,000 in April. That means the average condo price was essentially unchanged from April. Compared to May of last year, the average condo price was down about 5%, or roughly $32,000.

Our final source for what’s been happening this month in the Toronto real estate market is the number of new listings that came on the market. In May we saw that number go up, with 6,633 new listings in the city.

What’s it mean? 

Turning to the supply side, when we review the number of new listings that came onto the market in Toronto in May, we see that there were 6,633 new listings, compared to 6,367 new listings in April. That was a modest increase, with new listings up about 4% from April, or 266 new listings higher month over month. Compared to May of last year, new listings were down about 19%, or 1,526 new listings lower.

Tale of two markets – what’s going on with condos?

On the supply side of the condo market, May brought 3,024 new listings to market in Toronto, compared to 3,055 new listings in April. That was a small change, with new condo listings down about 1% from April, or 31 new listings lower month over month. Compared to May of last year, new condo listings were down about 25%, or 998 new listings lower.

To understand how it felt to buy or sell in Toronto in May, we can look at how quickly homes were selling and how close sellers were getting to their list price. Homes were selling somewhat faster than in April, so the market would have felt somewhat faster. At the same time, sellers were getting closer to their list price, so the market would have felt somewhat more competitive. Let’s get into the details below.

Let’s look in detail at the two specific stats that tell us how it felt to buy and sell in Toronto this month.

One of the best indicators of how a market feels is how long homes remain on the market.  The quicker they fly off the market, the more frantic and stressful it can be for both sides.  While it may seem like that is always positive for sellers, make no mistake, it can be stressful when sellers receive lots of attention or offers quickly.  The fear of making a mistake and pressure to decide quickly is hard on both buyers and sellers.

In May we saw the length of time that it took for homes to sell go down to 27 days on average.

How did it feel?

One of the clearest indicators of how it felt to be buying or selling in Toronto in May is how long it took for a home to sell. The average days on market in Toronto in May was 27 days, compared to 31 days in April. That was a modest decrease, with average days on market down about 13% from April, or 4 days lower month over month. In practical terms, the market would have felt somewhat faster. Compared to May of last year, average days on market was unchanged.

Tale of two markets – how did it feel if you were buying or selling condos?

Speed matters in the condo market because it shapes how much urgency buyers and sellers feel. In Toronto in May, the average condo apartment took 34 days to sell, compared to 37 days in April. That was a modest decrease, with average days on market down about 8% from April, or 3 days lower month over month. In practical terms, the condo market would have felt somewhat faster. Compared to May of last year, average condo days on market was up about 3%, or just one day higher.

The other statistic that gives us a good idea of how it feels to buy and sell in this month’s market is the sale to list price ratio.  This is a percentage that tells us how close to the price the sellers wanted they actually received from buyers.  If the sale to list price ratio is 100%, it means buyers paid exactly what the sellers were asking for the property.  If it’s under 100%, then the buyers negotiated a discount and if it’s over 100%, then the sellers got even more than they were asking for as a sale price.

In May, the average sale to list price ratio in the city increased to 100%.

How did it feel?

The average sale-to-list price ratio (how much of their list price sellers are actually getting when they sell) in Toronto in May was 99.9%, compared to 99.1% in April. That was a modest increase, with the ratio up 0.8 percentage points from April. While this stat is influenced by sellers listing below market value and setting offer dates, in practical terms, the market would have felt somewhat more competitive. Compared to May of last year, the sale-to-list price ratio was down 0.2 percentage points.

Tale of two markets – how did it feel if you were buying or selling condos?

For condos, the sale to list price ratio gives us another read on how much leverage sellers had when deals were actually coming together. In Toronto in May, the average condo sale to list price ratio was 97.7%, compared to 97.0% in April. That was a modest increase, with the ratio up 0.7 percentage points from April. This number can be influenced by underpricing strategies and offer dates, so it should not be read too literally on its own. In terms of the level of competition, the condo market would have felt somewhat more competitive. Compared to May of last year, the condo sale to list price ratio was down 0.2 percentage points.

To forecast where prices may go next in Toronto, we’ve reviewed three predictive stats: the sale-to-new-listing ratio, active listings, and months of inventory. Together, the indicators give a clear signal and suggest very strong downward pressure on average prices in June. Our prediction is that the average price in Toronto in June will fall by about 4% to 6%. In dollar terms, using the midpoint of that range, that would mean a drop of somewhere around $56,000 from May’s average price. That would put the June average price in Toronto at about $1,060,000.

Let’s take a more detailed look at the three predictive stats we have for what comes next in the Toronto market.

Let’s start with an acronym!  The Sales to New Listing Ratio (SNLR) tells us how many of the sales we saw this month were new listings in the month versus existing listings that had been on the market from previous months.  It’s considered a strong predictor of what happens in the next month because it tells us if inventory is sticking around or selling quickly.

• If the SNLR is around 50%, we have a balanced market, with sales equal to half the number of new listings coming on the market. A good amount of sales and a good amount of new options means reasonable price increases.
• Over 50% is heading towards a seller’s market, as we have sales outpacing the new inventory coming on the market. In extreme cases, we can have an SNLR of over 100%, which means we saw more sales in a month than inventory came on the market, meaning next month is very likely to see a price increase.
• Under 50% tells us that the we are headed towards a buyer’s market. The lower the SNLR, the more of a net increase in properties available the following month.  This means prices typically drop as buyers react to having lots of choices by pushing down the price they are willing to pay.

In May, we saw the SNLR in Toronto decrease to 35%, which means we’re in a buyer’s market right now in the city.

What does this predict?

The first of our three predictive stats is the sales-to-new-listings ratio, or SNLR, which compares the number of sales to the number of new listings coming onto the market. In May, Toronto’s SNLR was 35%, down 2 percentage points from 37% in April. That puts Toronto in a buyer’s market, where new supply is outpacing demand. On its own, the SNLR is pointing to strong downward pressure on prices heading into June.

How will the condo market do?

For the condo market, the sales-to-new-listings ratio gives us a useful read on whether buyers or sellers had more leverage. In Toronto in May, the condo SNLR was 31%, down 3 percentage points from 34% in April. That puts condos in a buyer’s market, where there were far more new listings than sales. On its own, this points to strong downward pressure on condo prices heading into June.

As we turn to active listings, we need to be clear about what that means.  The number used for active listings is the number of actual, currently for sale properties at the end of the month.  This number is therefore comprised of the older listings already on the market at the start of the month, plus any new listings that didn’t sell in the month, less any older or new listings that did sell before the end of the month.

May saw the number of active listings in Toronto up, going up to 10,460 options for buyers as of the end of the month.

What does this predict?

The second predictive stat is active listings, which tells us how many properties buyers had to choose from at the start of June. In Toronto at the end of May, there were 10,460 active listings, compared to 9,643 at the end of April. That was a meaningful change, with active listings up about 8% from April, or 817 listings higher month over month. Compared to May of last year, active listings were down about 15%, or 1,913 listings lower. Looking at the last two years, the current level of active listings is normal. Overall, the number of active listings predicts that prices should drop in June.

How will the condo market do?

For condos, active listings tell us how much choice buyers had as we moved into June. In Toronto at the end of May, there were 5,486 active condo listings, compared to 5,215 at the end of April. That was a modest change, with active condo listings up about 5% from April, or 271 listings higher month over month. Compared to May of last year, active condo listings were down about 20%, or 1,387 listings lower. Compared with the last two years, the current level of active condo listings is normal. Overall, the active listing count points to lower average condo prices in June.

Finally, let’s look at the Months of Inventory in Toronto.

This statistic tracks how long it would take for all properties on the market in Toronto to sell if we stopped having any new listings.  The higher the MOI, the more of a buyer’s market, the lower the MOI, the more of a seller’s market.  Somewhere between three to four months is considered a balanced market, but Toronto is almost always significantly below that level.

May saw Toronto’s months of inventory drop, and it is now at 4.5 months.

What does this predict?

The third predictive stat is months of inventory, which tells us how long it would take to sell through the available listings at the current pace of sales and, as a result, gives us a useful read on whether buyers are gaining or losing leverage. In Toronto at the end of May, there were 4.5 months of inventory, which was up about 10% from April, or 0.4 months higher month over month. This May’s level was lower than May of last year by 0.7 months, or about 13%. That puts the current months of inventory between the last two May levels, with May 2024 at 3.5 months and May 2025 at 5.2 months. As such, we’d say that supply conditions are normal for this time of year. Broadly speaking, with 4.5 months of inventory available for buyers, that still leaves enough supply relative to sales that prices should drop in June.

How will the condo market do?

For condos, months of inventory helps us understand how much choice buyers had relative to the pace of sales. In Toronto at the end of May, there were 5.8 months of condo inventory, which was up about 16% from April, or 0.8 months higher month over month. This May’s level was lower than May of last year by 1.3 months, or about 18%. That puts the current condo months of inventory between the last two May levels, with May 2024 at 4.6 months and May 2025 at 7.1 months. As such, we’d say that condo supply conditions are normal for this time of year. Broadly speaking, with 5.8 months of inventory available for condo buyers, that still leaves enough supply relative to sales that condo prices should drop in June.

There is a lot of information in the above charts and analysis and it’s worth taking a step back to summarize what happened and to understand what it all means.

May saw weaker sales, higher prices, and more new listings.

Overall, May was a slower month than April in terms of activity, although sales are still below what we saw two years ago. Sales fell 3% month-over-month (2,375 to 2,307, about 68 fewer), which is below May 2025 (2,358) and below May 2024 (2,720). For condo apartments, sales fell 10% (1,043 to 940, about 103 fewer).

The average sale price rose 1.7% ($1.10M to $1.12M, about $20,000 higher). For condo apartments, the average price fell 0.1% ($677,000 to $677,000, about $0 lower).

New listings rose 4% overall (6,367 to 6,633). For condo apartments, new listings fell 1% (3,055 to 3,024). That means supply grew faster than demand overall, which can limit seller pricing power if the new supply is not absorbed quickly. For condo apartments, the balance is less favourable because new listings increased faster than sales did.

Toronto felt somewhat faster paced, but a bit more competitive.

Overall, May was faster than April. Average days on market fell to 27 days from 31 (down 3 days or about 11%).

That is a modest improvement. Compared with the last two May levels, the overall market is in line with May 2025, when homes took 27 days on average to sell, and slower than May 2024, when homes took 20 days on average to sell. For condo apartments, days on market fell to 34 days from 37. Compared with the last two May levels, that is slower than May 2025, when condo apartments took 33 days on average to sell, and slower than May 2024, when they took 24 days on average to sell.

Sale-to-list tells a similar story. Overall, it was up at 99.9% (up from 99.1%). For condo apartments, sale-to-list was up at 97.7% (up from 97.0%). That points to a somewhat more competitive overall market.

June prices will drop in Toronto, with condo apartments also facing strong downward pressure.

When we review three predictive stats (the sale to new listing ratio, active listings, and months of inventory), we see that the SNLR fell to 35% from 37%, active listings rose to 10,460 (up 8%), and months of inventory moved to 4.5 months. Taken together, the indicators are giving a clear signal of strong downward pressure on average prices in June. Our prediction is that the average price in Toronto in June will fall by about 4% to 6%. In dollar terms, using the midpoint of that range, that would mean a drop of somewhere around $56,000 from May’s average price. That would put the June average price in Toronto at about $1,060,000.

For condo apartments, conditions are weaker. The SNLR was 31%, active listings were 5,486 (up 5%), and months of inventory moved to 5.8 months. For condo apartments, these stats are pointing pretty clearly in one direction, with strong downward pressure on average condo prices. Based on that, our prediction is that the average condo price in Toronto will fall by about 4% to 6% in June. In dollar terms, using the midpoint of that range, that would mean a drop of somewhere around $34,000 from May’s average condo price, putting the June average at about $643,000.

We hope you found this review and analysis of Toronto helpful and check back in near the start of the next month for the latest update on what is happening in Toronto!