Toronto Market Remains Steady In May

Prices for houses and condos in the City of Toronto have been unchanged since February. Sales have actually increased steadily since January. Both sales and prices have been lower than last year, however. The normal spring market bounce has been noticeably absent in 2025. Even so, the City of Toronto has fared better than the surrounding parts of the GTA since the Trump tariff storm began.

Selling Price Trends

House prices started strong this year, matching last year through March. Then the Trump Chaos struck, and prices have remained flat ever since. We haven’t had a normal spring market, but prices haven’t collapsed either. Overall, house prices have been resilient in the face of the economic uncertainty.

Condo prices have also remained flat since February. The Toronto condo market has been struggling over the past three years for a number of reasons unrelated to President Trump. Nonetheless, condo prices have also shown resilience in the face of the new uncertainties.

Sales Trends

Sales of houses in Toronto have increased steadily since the beginning of this year. While sales have lagged a bit behind last year overall, they matched 2024 in April and May. This is more evidence that the market for houses in the City of Toronto is holding up remarkably well considering the economic backdrop.

Sales of condo apartments in the City of Toronto have also increased steadily since January, though they are well below last year. Similar to houses, the Toronto condo market is weathering the storm relatively well, especially considering that condos were already weak BT (Before Trump).

Inventory Trends

The inventory of houses for sale is higher than last year, but is holding steady in ‘balanced market’ territory. This may seem weak, but this is only because we have seen mostly sellers’ markets for the past 20 years or so. A balanced market is actually quite healthy, we just need to get used to it again.

Condo inventory is high, well into buyers’ market territory. This is not a new development. For most of the past two years, condos have been in a buyers’ market, for reasons unrelated to tariffs. Trump Chaos is pushing inventory levels higher and further weakening the condo market. Nevertheless, condos are holding up well in the face of multiple negative forces.

Bottom Line

The economic uncertainty created by the dizzying tariff storm has clearly put a damper on the Toronto real estate market. Under the circumstances, the market has shown considerable resilience. Once the economic uncertainties clarify and stabilize (hopefully soon!), the market might just rebound strongly, maybe as early as this fall.