Buyers now offering way less than asking price for homes in almost all of the GTA

One may wonder how much more doom and gloom the Toronto housing market can handle, as the negative statistics and outlooks keep piling up month after month.

The city, having been immensely overvalued and undersupplied for so long, is in a bit of a state of shock now that the market has done a 180, with more homes now up for sale than ever, making for largest gap between supply and demand on record.

Even if this is all good for would-be buyers who have been waiting for some semblance of affordability for years, the stagnation has only led to a modest drop in average prices lately, with most owners and developers unwilling or unable to bear the substantial loss of pricing to sell in this current landscape.

Still, per the latest numbers from the Toronto Regional Real Estate Board (TRREB), the cost of the standard residential property in the GTA slid 5.4 per cent in June compared to the same time last year — the most significant year-over-year decline of the last few months.

And, according to other industry insiders, this is largely because of buyers' newfound ability to successfully haggle down prices during this market lull.

Toronto-based real estate agency Wahi keeps its finger on the pulse of over-bidding and under-bidding trends in the region, with the latter now at a near all-time high.

According to Wahi's report for June 2025, nearly all parts of the Toronto area — 93 per cent of neighbourhoods — are now in "underbidding territory," meaning buyers have been able to secure homes for less than their list price, sometimes by a significant margin.

This is compared to 87 per cent the month prior, and 71 per cent of neighbourhoods in June of last year.

The study notes that the median underbidding amount is now at $22,450 across housing types, and that condos are the most likely to be underbid as that sector flails.

Wahi

The communities where people are landing the best deals by dollar amount are Mineola, Mississauga (where the typical home went for $275,000 less than sellers were hoping); Rosedale, Toronto (underbid by an average of $155,500); Kingsway South, Etobicoke (underbid by $144,000); King Township ($120,000) and Ledbury Park, North York ($111,000).

Meanwhile, the most significantly overbid neighbourhoods by dollar amount last month were Rouge Woods, Richmond Hill (where homes went for an average of $150,000 more than asking); Riverdale, Toronto (overbid by $131,600); Runnymede, North York ($53,000); Kedron, Oshawa ($40,100) and Malvern, Scarborough ($37,550).

Wahi

Looking across all sales (not whether a given area is more underbid/overbid), a total of 71 per cent of homes sold over the course of last month went for under asking, which paints less of a worrying picture.

While Wahi notes that this data point is also on the rise, up from 68 per cent in May, it states that "underbidding territory doesn't mean that every property is selling for less than asking or that sellers are taking huge losses, it's a general indicator of market behaviour."