The Greater Toronto Area saw housing listings surge in 2024, shifting market dynamics in favor of buyers, particularly first-time buyers and those in the condominium sector, according to new data from the Toronto Regional Real Estate Board.
The market experienced a substantial 16.4% increase in new listings throughout 2024, while sales grew by only 2.6%, creating a widening gap between supply and demand. Despite this inventory accumulation, average selling prices showed resilience, declining less than one percent to $1,117,600.
“We’re seeing elevated levels of listings in the marketplace,” noted Jason Mercer, TRREB’s chief market analyst, highlighting how this surplus is strengthening buyers’ negotiating positions heading into 2025. The trend is particularly pronounced in the condominium market, where inventory continues to build.
While the condo sector shows growing inventory, the single-family home segment remains tight, with fewer properties available in this traditionally high-demand category. Mercer noted an uptick in market activity during the fourth quarter of 2024, spurred by Bank of Canada interest rate cuts that eased financial pressure on buyers.
TRREB polling suggests many prospective buyers are still waiting for further rate reductions, specifically looking for cuts between 100 and 150 basis points before entering the market. First-time buyers stand to benefit most from current conditions, with Mercer citing the combination of “downward trending borrowing costs and negotiating power.”
Despite current inventory levels, Mercer emphasized the importance of maintaining housing development efforts.
“It’s important not to take the foot off the gas,” he said, noting that strong population growth in the GTA will eventually absorb the current supply. “Ultimately, we are going to absorb that standing inventory we have right now, and we’re going to need to see that pipeline of supply pick up.”
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