Home sales across the Greater Toronto Area declined to their lowest level in a quarter-century last year as economic uncertainty kept buyers on the sidelines despite falling prices and lower mortgage rates.
Real estate agents reported 62,433 transactions through the Toronto Regional Real Estate Board’s MLS system in 2025, down 11.2% from the previous year and marking the weakest performance since 2000.
The December benchmark price of $942,300 represented a 6.3% decline from the same month in 2024, according to the MLS Home Price Index. Average selling prices fell to $1,006,735 last month, down 5.1% year-over-year and the lowest level recorded since January 2021.
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Active listings climbed to 17,005 properties in December, the highest count for that month since 2008. Homes remained on the market for an average of 41 days, also the longest December timeline in 17 years.
New listings totaled 186,753 properties throughout 2025, up 10.1% from 2024. The annual average price declined 4.7% to $1,067,968 from $1,120,241 the previous year.
December sales dropped 8.9% to 3,697 transactions compared with the same month in 2024, while new listings increased 1.8% to 5,299 properties.
TRREB President Daniel Steinfeld said improved affordability has positioned the market for recovery once economic conditions stabilize. Chief Information Officer Jason Mercer emphasized that employment confidence remains essential for buyers considering long-term mortgage commitments.
The board recorded 4.6 months of housing supply in December, placing market conditions within the three-to-five-month range typically associated with balanced buyer-seller dynamics. Properties sold for an average of 97% of their listing price, down from 98% in December 2024.
Detached home prices averaged $1,302,980, down 6.9% year-over-year. Semi-detached properties fell 12.1% to $957,357, while condominium apartments declined 7.9% to $628,029.
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