February home sales were down 27 per cent compared to the same period last year in the Greater Toronto Area. The Toronto Regional Real Estate Board is also reporting that listing inventory remained high—up by 5.4 per cent since January 2025.

TRREB Chief Market Analyst Jason Mercer said homebuyers have become less confident in the economy. “Uncertainty about our trade relationship with the United States has likely prompted some households to take a wait-and-see attitude towards buying a home,” he observed. “If trade uncertainty is alleviated and borrowing costs continue to trend lower, we could see much stronger home sales activity in the second half of this year.”

In total, TRREB recorded 4,037 home sales and 12,066 new listings.

“Many households in the GTA are eager to purchase a home, but current mortgage rates make it difficult for the average household to comfortably afford monthly payments on a typical property,” added TRREB President Elechia Barry-Sproule. “Fortunately, we anticipate a decline in borrowing costs in the coming months, which should improve affordability.”

The average selling price, at $1,084,547, was down by 2.2 per cent compared to February 2024, with home price index composite benchmark down by 1.8 per cent.

“With the Ontario provincial election just behind us and the federal political situation in flux, there is a lot to consider from a policy perspective when it comes to housing,” said John DiMichele., TRREB CEO. “Not only do policymakers and those vying for high public office need to make clear their direction on housing supply and affordability, but they also need to be clear on how they intend to tackle issues related to trade and the economy. Clear direction will go a long way to strengthen consumer confidence.”