Thrilled that we were able to negotiate a fantastic deal on this beautiful home in Newmarket, for our wonderful Clients relocating back to Canada from abroad! With things leaning toward a bit of a Buyer’s market, it can be an ideal time to stretch those purchasing dollars to scoop up some incredible deals!
Markham Real Estate Market Update 2025
What’s really happening in the Markham and Unionville real estate market right now? Brad Macdonald from RE/MAX breaks down the Fall 2025 GTA housing market — including the latest price trends, interest rate effects, and what it all means for buyers, sellers, and investors across Markham, Vaughan, Richmond Hill, and the York Region area.
In Loving Memory of David Macdonald
To our valued Clients and Friends,
With great sadness I have to share the passing of my father David Macdonald. Many of our wonderful Clients have worked with Dave in the past, to which many have become amazing friends over the years.
Dave had been battling Cancer for the last few years - continuing to work - often behind the scenes - for as long as he was able.
I’ve been so lucky to have been brought into the real estate industry by my mother Mary Anne, and was able to join our ‘family team’, alongside Dave and my sister Candice — it’s not too often you get the chance to work so close with so much family. Dave thoroughly enjoyed the real estate part of his career, with a bias towards the back-office and commercial side of the business.
I wouldn’t be where I am today without his expert guidance and advice. Dave will truly be missed.
Insight: Rental Market Reform
Landlords and tenants can both agree that the current Residential Tenancies Act is a major barrier to an equitable and fair rental marketplace. The LTB is seen as a major headache for everyone involved, both prospective Landlords, Tenants and new homeowners. OREA has been proposing a report that outlines achievable updates and goals for a revised RTA, that truly encompasses the realities of today’s rental market.
The goal being to have a fair system that allows for more rental units to be available, with fair market pricing, tools to enable the removal of bad players from the system, and streamlining of the court system to reduce the unrelenting delays that are causing major financial harm.
OREA’s report is summarized below.
Creating Modern Legislation That Works
Ontario’s outdated Residential Tenancies Act, 2006 (RTA), no longer reflects the realities of today’s rental market. Modernization is essential to reducing tribunal backlogs, expanding rental supply, and creating fairer outcomes for both tenants and landlords.
Action-Ready
Create a dedicated N12 process for buyers’ personal use to speed up timelines and reduce delays.
Strengthen monitoring, enforcement, and penalties against bad-faith N12 evictions.
Develop clear, accessible resources to educate both landlords and tenants on their rights and responsibilities under the RTA.
Mandate the equal treatment of all individuals under the Condominium Act, 2016, to be inclusive of diverse families.
Long-Term
Review and modernize the RTA to reflect today’s rental market.
Reform rent control by implementing a phased-in approach to balance tenant protections with incentives for new rental supply.
2
Fixing the Broken Landlord and Tenant Board
Ontario’s Landlord and Tenant Board (LTB) is overwhelmed by backlogs and delays, eroding trust and discouraging new rental supply. Urgent reform is essential to restoring fairness, accessibility, and timely justice for both tenants and landlords.
Action-Ready
Move away from the current digital-first strategy and restore in-person hearings as the default.
Improve legal aid support for tenants.
Remove financial barriers for tenant maintenance complaints filed in good faith.
Establish a timely LTB application screening process to identify and remedy errors early.
Long-Term
Find new opportunities to support mediation services between landlords and tenants at the LTB.
Improve LTB adjudicator training, recruitment, and retention strategies.
3
Building a healthy and diverse housing supply
Ontario’s rental supply has fallen far behind demand, leaving families with too few affordable options. Tackling high costs, zoning barriers, and stalled purpose-built development is critical to ensure the market meets the needs of people in every stage of life.
Action-Ready
Reduce government-imposed costs on new rental projects.
Streamline the permit process for new construction.
Promote and help scale innovative approaches to affordable housing development.
Investigate legislative changes needed to provide rent-to-own programs in Ontario.
Provide tax incentives for small landlords who provide new rental units in rapidly growing markets.
Provide a rental renovation tax credit for smaller, independent landlords who invest in specific improvements to their rental properties while keeping monthly rent costs consistent.
Long-Term
End exclusionary zoning across Ontario.
Invest in building 99,000 community housing units over the next 10 years.
Market Update: Stability Returns, But Caution Remain
GTA Market Holding Steady Amid Shifting National Trends
As we head into the summer months, the Greater Toronto Area real estate market continues to demonstrate resilience, with new signs of balance emerging across several segments.
Inventory Levels Signal a Balanced Market
In Toronto, we are currently seeing approximately 4 months of inventory. This level is widely recognized as indicative of a balanced market, where conditions do not strongly favour either buyers or sellers. This provides some welcome stability after the volatility of the past few years. However, when we focus on the condo sector, months of inventory trend higher, as sales volumes continue to lag behind the freehold market. This segment may offer greater opportunities for buyers to negotiate or invest strategically.
National Numbers: A Mixed Bag
According to CREA, national home sales rose 3.6 percent from April to May, marking the first month-over-month increase since November 2024. While that is an encouraging sign of renewed buyer activity, it is important to view it in context:
Sales remain down 4.3 percent year-over-year, comparing May 2024 to May 2025
Average home prices are down 1.8 percent nationally, with Ontario seeing a larger decline of 4 percent
This reflects a still-sensitive landscape where affordability and borrowing costs continue to influence decision-making.
Interest Rates in a Neutral Zone
The Bank of Canada held its benchmark interest rate at 2.75 percent during the last update. This is considered a neutral rate, meaning it is neither overly restrictive nor particularly stimulating for the housing sector. We are hedging toward the BoC maintaining rates at the upcoming meetings, as our inflation rate has started to creep back up in recent weeks. While stability is generally welcomed by the market, a slightly lower rate would likely encourage more activity among both buyers and builders. This could help support inventory growth and new construction starts, particularly in higher-demand areas. Market watchers are paying close attention to upcoming announcements.
Trade Talks May Impact the Broader Outlook
Beyond interest rates, broader economic forces are also shaping the market outlook. A finalized Canada–U.S. trade agreement would provide welcome stability for key sectors including construction, manufacturing, and finance. In turn, this would help reinforce consumer confidence and support both urban and suburban real estate markets.
Toronto Real Estate Market Update: May Brings a Slower Spring and More Buyer Power
Sales Slowdown Creates Opportunity
This past May marked one of the slowest spring real estate markets Toronto has seen in over two decades. According to new data from the Toronto Regional Real Estate Board (TRREB), just 6,244 homes were sold across the GTA — a 13% drop compared to the same time last year.
With the exception of May 2020 during early pandemic lockdowns, this is the lowest number of May sales since 2002. And it’s worth noting: our population has grown by over 35% since then.
Home Prices Edge Down Across the Board
The average sale price across the GTA in May was $1.1 million, representing a 4% decline year-over-year. Different property types experienced varying levels of price correction:
Semi-detached homes: down 8.4%
Condos: down 7.3%
Detached homes: down 5.6%
Townhomes: down 3.3%
Lower prices combined with slightly reduced borrowing costs have improved affordability, but many buyers remain hesitant due to broader economic concerns.
Inventory Rising, Confidence Lagging
New listings are on the rise. Nearly 22,000 properties came to market in May — up 14% year-over-year. With more listings and fewer sales, the sales-to-new-listings ratio sits at 28%, confirming a buyers’ market. That means:
More choice for buyers
Greater negotiating power
Slower pace = more time to make decisions
Interest Rates, Trade Tensions & What's Next
Market activity continues to be shaped by economic uncertainty, especially around trade with the U.S. and Bank of Canada interest rate decisions. While some expect a rate cut in the near future, the central bank has so far held steady.
Still, we are seeing early signs of recovery: both sales and prices increased slightly compared to April on a seasonally adjusted basis. That’s two months in a row showing a positive trend.
Final Thoughts
For Buyers, this is a rare moment of leverage — more supply, less competition, and room to negotiate.
For Sellers, pricing strategy and strong marketing are critical to stand out in a crowded marketplace.
Whether you’re looking to move soon or just want to better understand your home’s current value, I’m here to help you navigate today’s evolving market.
Toronto New Home Sales Hit Historic Low: Worse Than 1990s Housing Crash
The Greater Toronto Area (GTA) housing market is experiencing an unprecedented downturn. New home sales have fallen to levels even lower than those seen during the 1990s housing crash, signalling serious implications for supply, affordability, and construction activity in the years ahead.
Sales at Record Lows
In April 2025, only 310 new homes were sold in the GTA — a 72 percent decline compared to April 2024, and 89 percent below the 10-year average for the month, which typically sees around 2,750 sales. By comparison, even at the lowest point of the 1990s housing downturn, monthly sales were nearly double what we are seeing today.
Market Breakdown by Housing Type
Condominiums: 105 units sold
80% lower year-over-year
94% below the 10-year average
Single-Family Homes: 205 units sold
66% lower year-over-year
77% below the 10-year average
Condo sales include units in low, medium, and high-rise buildings. Single-family homes include detached, semi-detached, linked houses, and townhomes.
Price Trends
Condos:
Benchmark price: $1.019 million
Down 3.6% year-over-year
Single-Family Homes:
Benchmark price: $1.53 million
Down 5.4% year-over-year
Market Sentiment and Buyer Behaviour
Buyers are hesitating amid economic uncertainty and speculation about new tariffs. Edward Jegg, research manager at Altus Group, noted, “Buyers crave predictability and the swirling uncertainty around the impact of possible tariffs is depriving would-be purchasers of the confidence they need to move ahead.”
This hesitancy is slowing both transactions and the launch of new housing projects.
Warning Signs of a Future Supply Crisis
BILD warns that the public may not yet realize how serious the slowdown is due to the lag between sales and construction. Justin Sherwood, Senior VP at BILD, noted that the industry is “decelerating quickly” and that a significant housing supply shortfall is forming.
2025 condo completions: 30,793 units
2028 forecasted completions: 9,561 units
This projected 69 percent drop in completions could lead to a housing shortage by the late 2020s.
Inventory Levels and Market Balance
Currently, the GTA’s new home inventory would take 15 months to sell at the current rate — well above the healthy range of 9 to 12 months. While inventory decreased slightly month-over-month, low sales are the main reason inventory remains elevated.
Government Policy and Industry Response
The federal government recently proposed a GST rebate for first-time buyers purchasing homes under $1 million. However, BILD argues this is insufficient.
Sherwood stated, “Very few new home buyers are first-time buyers. It will not substantially help address affordability, nor will it help significantly stimulate sales and construction.”
BILD is calling for GST relief to be extended to all new home purchasers.
Toronto’s new home market is currently enduring the most prolonged sales slump on record. With demand down sharply, prices sliding, and completions projected to fall dramatically, the GTA faces the dual threat of short-term instability and long-term housing shortages.
As this market continues to evolve, staying informed is essential for buyers, sellers, and developers alike.
A Market in Motion: Smart Insights for Spring 2025
Spring is traditionally the most active season in real estate, but 2025 hasn't followed the usual script. Political uncertainty surrounding the upcoming Canadian federal election and ongoing instability south of the border have kept many buyers and sellers on the sidelines. As a result, this spring began slower than expected. But the tide is turning.
Let’s talk specifics.
The cottage and recreational property market north of the city has come to a near standstill. Showings are sparse—even on premium listings. In uncertain economic times, lifestyle properties are the first to feel the pinch. Buyers are prioritizing value and stability, not weekend getaways.
That said, the Greater Toronto Area (GTA) is telling a different story. Across the Golden Horseshoe, we’re seeing renewed momentum. Listings are increasing, and so is buyer engagement—at nearly every price point. This shift marks a clear change from the sluggish pace we saw earlier in the year.
What’s Happening with Prices?
Let’s cut through the noise. On average, detached home prices are down approximately 5–7% year-over-year. Condos—particularly smaller, non-family oriented units - are feeling a deeper correction, down around 15%.
This isn’t surprising. The condo segment, especially in the investor-heavy downtown core, has been oversupplied since last summer. Inventory levels remain high, and that’s putting ongoing pressure on prices. Unless those units are attractively priced or uniquely positioned, they’re struggling to move.
On the other hand, well-located, family-sized homes in the 416 and desirable 905 pockets are starting to attract serious attention again—especially if they're priced with today’s market in mind.
Rates, Stability, and What Comes Next
The recent interest rate cut—and more importantly, the Bank of Canada’s decision to hold steady—has given the market a much-needed psychological boost. Inflation is trending in the right direction, and if we see another rate hold at the next meeting (as expected), confidence will continue to build.
That confidence is already showing up in the volume of calls I’m getting from clients. Many are asking for updated valuations and market positioning. That’s always a leading indicator of increased activity. When homeowners start reassessing their portfolios, they’re preparing to act.
We’re seeing that play out in real time - new listings are climbing, especially in Toronto proper and the surrounding GTA. Smart sellers are getting ahead of the curve.
Bottom Line
This is a market that rewards preparation and strategy. Whether you're buying, selling, or just evaluating your options, informed decisions matter more now than ever. The opportunities are real—but so are the risks if you’re not properly aligned with current conditions.
If you're unsure where you stand or how to navigate what's next, let’s talk. I’m tracking the trends daily and can help you see around corners before the rest of the market catches up.
GST Eliminated for first-time home purchasers
We welcome the Government of Canada’s decision to eliminate the Goods and Services Tax (GST) on homes priced at or under $1 million for first-time homebuyers. This policy is a positive step toward addressing housing affordability challenges and supporting Canadians in achieving homeownership.
The rising cost of housing has been a significant barrier for first-time buyers in the Greater Toronto Area and across the country. By eliminating the GST, the federal government is providing much-needed financial relief – reducing upfront costs and making homeownership more attainable for young families and new buyers entering the market.
Realistically, this will hardly move-the-needle on affordability around the Toronto area, with very limited housing options under that $1M threshold, but it is certainly a step in the right direction.
How Could U.S. Tariffs Impact the GTA Housing Market?
With the impending U.S. tariffs on Canadian exports, many are wondering what this could mean for the real estate market, particularly in the Greater Toronto Area. While it may seem like an issue confined to international trade, these tariffs could have a direct impact on housing costs, construction, and market trends.
Higher costs for key building materials such as steel, aluminum, and lumber could push up construction expenses, leading to increased home prices and potential delays in new developments. If suppliers redirect their products to the Canadian market to offset the effects of tariffs, this won’t necessarily drive prices down. Instead, material costs may rise due to continued demand and potential supply shortages.
Another factor to consider is the Canadian dollar. If tariffs weaken Canada’s export sector, the loonie could decline against the U.S. dollar, making imported materials and construction equipment more expensive. Higher costs, combined with potential supply chain disruptions, could further drive up the price of new homes.
Beyond materials and currency fluctuations, there’s also the broader economic impact. If key industries like manufacturing and forestry face setbacks due to trade restrictions, job losses and economic uncertainty could slow housing demand. At the same time, inflationary pressures may prompt the Bank of Canada to raise interest rates, making mortgages and construction loans more costly. Developers may delay or cancel projects in response, further constraining housing supply.
For buyers and sellers, this creates a complex landscape. If supply tightens and costs continue to rise, affordability could become an even greater challenge. However, economic uncertainty might also lead to a temporary slowdown in demand, which could present opportunities for those ready to make a move.
The real estate market is always evolving, and staying informed is key. If you’re considering buying, selling, or investing, now is the time to have a strategic conversation about your next steps. Reach out to discuss how these changes could impact your real estate goals.