The Toronto Regional Real Estate Board (TRREB) has released the July 2025 stats, and the message is clear: activity is building, but buyers remain price-sensitive. While the number of homes sold increased significantly over the same time last year, average prices continued their slow retreat—and that combination is shaping a market that’s as nuanced as it is opportunistic.

Sales at a Four-Year High

TRREB reported 6,213 home sales across the Greater Toronto Area in July—up 10.9% year-over-year, and the strongest July showing since 2021. On a seasonally adjusted basis, that’s a 13% jump from June, pointing to real momentum.

The market has seen a notable shift in pace, and many buyers are stepping off the sidelines. That said, the decision to purchase remains cautious and calculated—especially with borrowing costs still elevated compared to pre-2022 levels.

Prices Continue to Recalibrate

Despite the jump in activity, pricing continues to adjust. The average selling price across the GTA fell 5% year-over-year to $1,051,719, while the MLS® Home Price Index (HPI) Benchmark was down 5.4%, sitting at $1,117,429.

Detached homes saw the sharpest year-over-year drop in average price at 9%, followed closely by condos, which declined nearly 8.5%. This is the seventh time in eight months that benchmark prices have declined—underscoring that while demand is returning, buyers are not chasing prices.

Inventory Keeps Building

Perhaps the most telling stat of the month: active listings climbed nearly 28% compared to July 2024, reaching over 30,000 available homes. That increase in supply pushed the sales-to-new-listings ratio to 35%, firmly in buyer’s market territory.

With more options and longer days on market, buyers are taking their time—and sellers need to price accordingly.

Where Do We Go from Here?

This market is leaning in favour of buyers, but it’s far from a fire sale. Well-priced, well-presented homes are still selling—and quickly. Overpriced listings, on the other hand, are sitting. The key takeaway? Strategy matters more than ever.

If you’re thinking about making a move, now’s the time to talk strategy. Whether you’re buying or selling, understanding the current data is essential to making smart decisions.