Toronto housing market is dying and here's how much average prices have dropped

Home sales and prices in the Greater Toronto Area (GTA) continue to plummet to historic lows. These trends continued through October 2025, casting further doubt on the future of the region's turbulent housing market.

The latest data from the Toronto Regional Real Estate Board (TRREB) highlights continued market challenges affecting homeowners and sellers, while the ever-falling cost of a home in the region offers a ray of hope for would-be homebuyers who have been priced out of the market throughout the last decade of runaway land values.

TRREB's Oct. 2025 data reveals that home sales have once again declined year-over-year in the region, with 6,138 home sales representing a 9.5 per cent drop over the same period in 2024.

The City of Toronto registered 155 fewer home sales year-over-year, while 905-region sales declined by 491 homes. Overall, GTA home sales declined by 646 units in October 2025 from the 6,784 units sold during the same period last year.

Figures were also down month over month from September 2025 on a seasonally adjusted basis.

Meanwhile, new listings only increased last month, increasing 2.7 per cent over 2024 and now sitting at 16,069. 

TRREB

This glut of supply and declining demand continue to impact the average selling price of a home in the region, with TRREB noting in a press release that "Market conditions continued to favour homebuyers, as average selling prices were negotiated down alongside lower mortgage rates."

All of this pressure on sellers has translated to a 7.2 per cent decrease in the average home price last month, compared with the same period in 2024. 

It will now cost you an average of  $1,054,372 to purchase a home in the region, or $81,322 cheaper than the same average in Oct. 2024. Average home prices were also down month-over-month from Sept. 2025, while the composite benchmark price of a home in the region declined by 5 per cent year-over-year.

TRREB

"The monthly mortgage payment for an average-priced GTA home continued to trend lower in October, benefitting from both lower borrowing costs, and lower selling prices. This means more buyers can now afford to purchase a home that meets their housing needs," said TRREB Chief Information Officer Jason Mercer.

Basically, it's more bad news for sellers, and welcome news for prospective homebuyers who have remained locked out of the high-priced market frenzy. 

TRREB President Elechia Barry-Sproule notes that "Buyers who are confident in their employment situation and ability to make their mortgage payments over the long term are benefitting from affordable housing market conditions relative to the past few years."

"However, many intending homebuyers remain on the sidelines due to uncertainty about their economic future," added Barry-Sproule.