A Slow But Steady Market Over the Past Two Years
The GTA real estate market remained relatively slow throughout 2024, continuing the trend from the past two years.
Detached homes has been the biggest decliner, as affordability concerns pushed buyers away from this higher-priced segment. The number of people looking to upsize has also decreased.
Investors are pulling back on the condo markets. Condo apartments have been very slow since the rate hikes. Many investors are selling at a loss to avoid larger carrying costs in the long run.
Rental rates have started to decline, and with laws heavily favoring tenants, many landlords are looking to exit the market. Since renting remains cheaper than buying at current interest rates, first-time buyers are not rushing back in.
Stable Prices Despite Slower Sales
While sales volume has dropped, average home prices have remained stable year-over-year.
Interest rates came down multiple times in the last quarter of 2024, yet buyers remain on the sidelines. More rate cuts are expected in this election year, but the market’s response is uncertain.
Key Factors Affecting the 2025 Market
A few major influences to watch:
✅ Trump’s tariff threats
✅ A weak Canadian dollar
✅ Slowing economy & high unemployment rate
✅ Reduced immigration forecasts
✅ High cost of living
✅ Federal election uncertainty
2025 Outlook: A Market Ready to Rebound?
With rates expected to drop further, I anticipate a stronger market in 2025compared to the last two years.
- Housing supply remains limited, and we’re building even fewer homes, which should help keep prices stable.
- Buyers in a position to purchase now can upsize with minimal competition.
- A stronger spring market is expected, with multiple offers making a return.
Got a Question About the Local Market? Let’s Chat!
Have any specific questions about the market? Wondering about home values in your neighborhood? Send me a message or email —I’m happy to help and here to answer any questions you have!
Looking forward to hearing from you. 😊
📱Phone: 647-504-0690
📧 Email: steven@mistersauga.ca
*Your Trusted Partner in the GTA Real Estate Journey*