The February market report is out!
We are finally getting through the ice box that has defined our winter this year, and housing market conditions in the Greater Toronto Area (GTA) have tightened compared to February last year. While sales declined year-over-year, new listings fell at a greater rate, reducing available supply. The drop in new listings aligns with a recent poll showing lower homeowner intentions to list their properties in 2026. If new listings continue to trend lower through the spring, competition among buyers will increase, which would support home prices and lead to stronger sales volume.
Toronto Regional Real Estate Board's Chief Information Officer Jason Mercer stated that substantial pent-up demand exists in the GTA ownership market, with more than 100,000 potential buyers currently holding off on purchasing. Many are waiting for prices to stabilize and for positive developments on the trade front. Once both occur, we could see significant momentum in home sales in the second half of this year and into 2027.
There were 3,868 home sales of all home types in February 2026, a 6.3% decline compared to February 2025.
On a seasonally adjusted basis, both sales and new listings declined month-over-month compared to January 2026, with new listings falling at a faster pace than sales.
The average selling price was $1,008,968, down 7.1% compared to February 2025.
Condominium sales in the GTA declined 11.2% year-over-year in February, while average prices fell 8.9% compared to the same period last year. With approximately 20,000 new condominium units expected to be delivered in 2026, the market will likely continue to face downward pressure on pricing in the near term.
Economists suggest that conditions could begin to improve toward the end of this year and into 2027, as the pace of new condo completions slows. At the same time, continued population growth in the GTA, estimated at roughly 50,000 new residents annually, is expected to help absorb inventory and support a gradual recovery in the condominium market.
