After a softer start to the year, tightening market conditions could set the stage for a rebound in Greater Toronto Area home sales later in 2026, according to the Toronto Regional Real Estate Board.
The report, which analyzes all sales for the month, showed the average price of a home across the GTA was $1,008,968, down seven per cent from last February.
TRREB has reported year-over-year declines in the average selling price since February 2025, said chief information officer Jason Mercer. “We’ve been seeing prices trend lower,” he said, adding that one factor is the ongoing trade uncertainty with the U.S. Mercer said TRREB anticipates sales will turn around in the second half of the year if things stabilize “on the trade front.”
He added that there’s also currently a lot of choice for tenants in the rental market, which makes it easier for first-time buyers to wait to make a purchase.
Average prices were down from February 2025 for all home types, including detached homes (8.2 per cent), semis (5.8 per cent), townhouses (7.2 per cent) and condos (8.8 per cent).
The average price of a detached home in the City of Toronto now sits at $1.57 million, down 12 per cent from last year (although small numbers of monthly sales can skew these averages).
During the real estate peak in February 2022, the average price for a detached house in Toronto was over $2 million.
Meanwhile, condos in the 905 were the cheapest product available, at an average price of $549,563 in February, down 10 per cent from last year.
Average prices increased slightly month-over-month, but it’s typically a very slow period for the real estate market.
There were 3,868 home sales reported through TRREB’s MLS® System in February, down 6.3% compared to the same month last year. Over the same period, new listings dropped 17.7% year-over-year to 10,705.
New data from TRREB shows that while resale transactions declined year-over-year in February, new listings fell at a much sharper pace — a dynamic that could increase competition if demand begins to reassert itself.
According to TRREB, the pullback in new listings aligns with recent Ipsos polling showing that listing intentions are lower for 2026, as many homeowners remain hesitant to enter the market. “Many would-be homebuyers are waiting for selling prices to level off before moving into the market,” said Daniel Steinfeld, President of TRREB. “If new listings continue to trend lower through the spring, competition between homebuyers will increase, supporting home prices and a recovery in sales.”
Looking at the longer term, TRREB continues to emphasize the importance of expanding housing options beyond the traditional condo or single-family home.
TRREB and its partners in the Housing Advancement Coalition are urging federal and provincial governments
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