The Greater Toronto Area (GTA) housing market saw a notable rebound in July, recording its strongest sales activity for the month since 2021, according to new data released by the Toronto Regional Real Estate Board (TRREB).
A total of 6,100 homes changed hands last month, representing a 10.9% increase compared to July 2024. On a seasonally adjusted basis, sales rose 13% month-over-month, pointing to renewed buyer interest as affordability improves.
While prices continue to dip, lower borrowing costs appear to be enticing more prospective homeowners back into the market. The average selling price across all property types in the GTA fell 5.5% year-over-year, settling at $1,051,719. Meanwhile, the MLS® Home Price Index benchmark—which reflects the price of a typical home—dropped 5.4% over the same period.
TRREB President Elechia Barry-Sproule acknowledged the positive momentum but emphasized the need for further relief. “It’s clear that more households are finding entry points into the market,” she said, “but we still need sustained improvement, especially on the financing front. Borrowing costs remain a significant hurdle for many.”
Inventory levels also showed signs of recovery. New listings in July rose by 5.7%, with 17,613 homes hitting the market. Active listings surged to 30,215, marking a 26.2% increase compared to the same time last year, when 23,936 properties were available.
The GTA’s performance is part of a broader trend. In June, national home sales in Canada climbed 2.8%, largely driven by strong activity in the Toronto area, according to the Canadian Real Estate Association (CREA).
Market analysts suggest that buyers who had been sidelined by high interest rates in previous months are gradually re-entering the market, encouraged by softening prices and improved selection. However, whether this momentum continues will likely depend on the trajectory of interest rates in the coming months.
