Home sales across the Greater Toronto Area increased 7% in April compared with a year earlier, according to data released May 6 by the Toronto Regional Real Estate Board. The region recorded 7,114 sales during the month, up from 6,648 in April 2025, while average home prices declined year over year to about C$1.1 million.
TRREB President Jennifer Pearce said higher inventory levels and softer prices gave buyers more negotiating power, while lower borrowing costs supported sales activity in some market segments.
Sales Activity Expands Across GTA Regions
Home sales increased across several municipalities in the Greater Toronto Area, including Toronto, Peel, York, Durham, and Halton regions. Detached and semi-detached homes continued to make up a large share of transactions, while condominium activity remained mixed in some districts.
The City of Toronto accounted for a significant portion of April sales, with stronger activity reported in both downtown and suburban neighborhoods. York Region also posted gains as buyers continued searching for larger homes outside the city core.
TRREB reported more than 18,000 new listings in April, raising inventory levels across the GTA and giving buyers more options. Condominium apartments saw some of the steepest annual price declines in areas with higher supply, while detached home prices remained comparatively stronger.
Borrowing Costs Continue to Influence Market Conditions
Mortgage financing remained one of the most closely watched factors affecting the GTA housing market during April. The Bank of Canada had previously lowered its benchmark interest rate after inflation pressures eased from earlier highs, contributing to somewhat lower mortgage borrowing costs compared with 2024 levels.
Lower rates improved affordability for some prospective buyers, particularly households entering the market for the first time. However, borrowing costs remained above the ultra-low levels seen during the pandemic-era housing surge, limiting the pace of market recovery.
Financial institutions continued to offer fixed-rate and variable-rate mortgage products at levels that many buyers still considered challenging relative to household income growth. Economists and housing analysts noted that mortgage qualification requirements continued to affect purchasing capacity across the GTA.
TRREB Chief Market Analyst Jason Mercer stated in the board’s release that improved affordability conditions had supported increased sales activity compared with the previous year. Mercer also noted that higher inventory levels had provided more balance between buyers and sellers.
Many homeowners renewing mortgages in 2026 faced higher payments compared with terms secured several years earlier. This renewal cycle continued to influence household financial planning and purchasing decisions throughout the region.
The federal mortgage stress test also remained in place, requiring borrowers to qualify at rates above their contracted mortgage rate. Industry participants said the policy continued to affect purchasing power, especially among first-time buyers attempting to enter the market.
Condominium Sector Faces Higher Supply Levels
The condominium apartment segment continued to experience distinct market conditions compared with low-rise housing categories. Toronto’s downtown condo market saw elevated inventory levels as newly completed units entered the resale and rental markets.
Investor participation in the condo segment remained lower than during previous years, partly because of financing costs and slower price appreciation. Rental market conditions, however, remained relatively tight in many parts of Toronto despite increased condominium supply.
Smaller condominium units experienced slower sales velocity in some neighborhoods, particularly in areas with high concentrations of recently completed developments. At the same time, larger condo units in established neighborhoods continued to attract interest from downsizing homeowners and professional buyers seeking urban properties.
Developers also continued to monitor pre-construction market activity closely as construction costs and financing conditions affected new project launches. Several builders adjusted project timelines amid changing market conditions and buyer demand patterns.
The GTA condo market has expanded substantially over the past decade, making the sector an important component of the region’s overall housing supply. Industry groups have repeatedly pointed to condominiums as a major source of housing availability in Toronto’s high-density urban areas.
Rental demand remained supported by immigration and population growth throughout the Greater Toronto Area. Canada continued to receive a large number of newcomers, many of whom initially entered rental housing before transitioning into ownership markets.
Inventory Growth Changes Negotiating Dynamics
The rise in active listings during April contributed to changing negotiations between buyers and sellers across the GTA housing market. Properties generally spent more time on the market compared with conditions seen during the pandemic-era surge, when bidding wars and limited inventory were common.
Real estate agents reported that conditional offers, including financing and home inspection clauses, became more common in many transactions. Buyers also gained greater flexibility to compare properties across multiple neighborhoods before making purchasing decisions.
Sellers in some areas adjusted pricing expectations to align with current market conditions. Homes that were priced aggressively above comparable sales often remained on the market longer than properties aligned with prevailing valuations.
Housing supply continued to be a central issue in Ontario’s broader affordability discussions. Provincial and municipal governments maintained policies aimed at increasing residential construction, including transit-oriented developments and higher-density housing projects.
Construction activity across the GTA remained significant, although builders continued to face labor shortages, material costs, and financing pressures. The Canada Mortgage and Housing Corporation has previously identified housing supply growth as a key factor in addressing long-term affordability concerns nationwide.
Population growth in the GTA continued to support underlying housing demand despite higher borrowing costs and moderating prices. The region remains Canada’s largest urban housing market and one of the country’s most active real estate centers.
Market Data Reflects Shift From Pandemic-Era Conditions
The April housing figures reflected a continued transition away from the rapid price escalation and intense competition that characterized the GTA market during 2020 and 2021. During that period, historically low interest rates and strong demand pushed home prices to record levels across the region.
Since then, higher interest rates and affordability challenges have slowed price growth and reduced speculative purchasing activity. Market conditions in 2026 showed more balanced supply-demand dynamics compared with previous years.
TRREB’s monthly data also indicated that seasonally adjusted sales activity improved from March levels, reflecting typical spring market patterns. Spring is traditionally one of the busiest periods for Canadian real estate transactions as buyers and sellers become more active after the winter season.
The board stated that continued improvements in borrowing conditions and housing supply could influence market activity in the coming months. However, affordability concerns remained significant for many households across the GTA.
Toronto’s housing market continues to be closely monitored by policymakers, financial institutions, and industry organizations because of its influence on Canada’s broader economy. Real estate activity contributes substantially to construction employment, consumer spending, and municipal revenues throughout the region.
