Condo buyers in the Greater Toronto Area saw a market tilted in their favour in the first quarter of 2025, as a surge in listings and a slowdown in sales gave them more power at the bargaining table, according to a new report from the Toronto Regional Real Estate Board (TRREB).
Between January and March, 3,794 condominium apartments changed hands across the region — a 21.7 % drop from the same period last year. At the same time, listings climbed 25.2% to 14,544, offering would-be buyers more choice and the upper hand on price.
That shift in the market helped push the average selling price of a GTA condo down 2.2% year-over-year to $680,146.
“With increased listings and lower sales, condominium buyers had more negotiating power on price,” TRREB noted in its release.
Borrowing costs and economic uncertainty still keeping buyers on the sidelines
But despite the increased availability and slightly lower prices, many buyers remain on the sidelines. Polling conducted by Ipsos for TRREB found that high borrowing costs and shaky economic confidence are holding back demand. The board cited “uncertainty surrounding Canada’s trade relationship with the United States” as a key factor weighing on consumer sentiment.
In the rental market, a similar trend has emerged. A steady supply of available units has allowed many renters to strike better deals on monthly rents, and in turn, delayed plans to make the leap into ownership.
Looking ahead, TRREB expects the tide may turn later this year. “Once economic confidence improves in the months ahead, the demand for condominium apartments should increase as well,” the board said, pointing to the likelihood of further interest rate cuts in 2025.
Why this matters: What GTA condo trends say about the broader housing market
The Greater Toronto Area is home to Canada’s largest — and most scrutinized — real estate market. In a region where detached home prices often remain out of reach, condominium apartments have long been the more accessible option for first-time buyers, downsizers and investors alike.
But after years of rapid growth, the condo market is showing signs of cooling. The 2.2 % drop in average selling price this past quarter may seem modest, but it marks a shift from the sharp price gains of recent years. That decline comes as higher interest rates continue to stretch buyer budgets and test affordability.
Mortgage costs have climbed significantly since 2022, according to data from Statistics Canada and the Bank of Canada. Combined with growing uncertainty about Canada’s economic future, including trade tensions with the United States, these headwinds have made buyers more cautious and sellers more flexible.
For GTA residents trying to time a move, or renters considering a jump to ownership, the current environment underscores how closely pricing, inventory and borrowing costs are connected.
About the data
All figures cited are from the Toronto Regional Real Estate Board’s Q1 2025 Condo Market Report, which tracks quarterly sales and listings activity in the GTA condo market. Consumer sentiment data comes from polling conducted by Ipsos on behalf of TRREB.
The full report is available at trreb.ca.
Sources
1. TRREB: Condo Market Report (2025 Q1)
2. TRREB: TRREB Releases 2025 Q1 Condo Market Statistics (May 26, 2025)
This article provides information only and should not be construed as advice. It is provided without warranty of any kind.
