GTA Housing Market Records Modest Monthly Improvements as Inventory Tightens

The Greater Toronto Area housing market continued to adjust in October, with modest improvements in monthly sales activity and average selling prices alongside a reduction in available inventory compared with last year. While economic conditions and borrowing costs continued to influence market activity, housing affordability remained considerably improved compared with 2023 and 2024, creating a more accessible pricing environment across the region.

According to the Toronto Regional Real Estate Board (TRREB), GTA REALTORS® reported 5,603 home sales in October 2026, representing an increase of approximately 11.2 per cent from the 5,040 transactions recorded in September. Although sales remained 7.9 per cent below October 2025, the monthly increase reflected improved activity during the fall market. TRREB also reported that sales increased on a seasonally adjusted basis compared with September.

The average selling price across the GTA reached $1,024,108 in October, up approximately 1.8 per cent from September's $1,006,409. This marked the second consecutive monthly increase in the unadjusted average selling price, following August's $993,410. While the October average remained 2.7 per cent below the same period last year, the MLS® Home Price Index Composite benchmark recorded a 4.3 per cent annual decline. On a seasonally adjusted basis, both the benchmark and average selling price edged higher compared with September, providing a positive indication of monthly pricing trends.

Housing supply continued to shift, with new listings totalling 14,173 in October, down 11.9 per cent from the 16,080 properties brought to market in October 2025. Active listings also declined 10 per cent year over year to 25,098 properties, compared with 27,899 a year earlier. Although new listings increased on a seasonally adjusted basis compared with September, the annual reduction in both new and active inventory reflects a more limited supply environment than a year ago.

Affordability remains an important consideration in the current market. While borrowing costs have increased compared with last year, lower selling prices have helped offset some of the impact on monthly mortgage payments. TRREB noted that mortgage payments for an average priced home remain considerably more affordable than those required in 2023 and 2024. This improvement in affordability continues to be an important characteristic of the GTA housing market as households assess their real estate plans.

Detached homes accounted for the largest share of October activity, with 2,693 sales, representing approximately 48 per cent of all GTA transactions. The average detached selling price reached $1,310,627, an increase of approximately 1.4 per cent from September's $1,292,016. Although detached sales were 4.4 per cent below October 2025, average prices declined by a more modest 3.2 per cent year over year. Detached properties continued to represent a significant portion of the market, particularly across established residential communities.

The semi detached segment recorded 546 sales, with an average selling price of $1,024,907, approximately 1 per cent higher than September's $1,015,202. Notably, semi detached prices were just 0.8 per cent below October 2025, demonstrating comparatively resilient annual pricing within this housing category. In the City of Toronto, semi detached homes averaged $1,225,229, an increase of 0.5 per cent year over year.

Townhouses continued to represent an important segment of the GTA housing market, with 933 transactions recorded in October. The average selling price was $804,416, approximately 5 per cent below October 2025. This segment continues to provide a range of housing options between condominium apartments and larger ground oriented properties, with pricing reflecting the broader adjustments experienced across the market.

The condominium apartment market recorded 1,385 sales, compared with 1,316 in September, representing a monthly increase of approximately 5.2 per cent. The average selling price reached $621,400, up approximately 2.7 per cent from September's $605,257. While condominium prices remained 5.8 per cent below October 2025, the monthly improvement in both sales and average prices was a noteworthy development within this segment.

October's results highlight a housing market continuing to respond to changing economic conditions, with several encouraging developments emerging in the monthly data. Higher sales activity, modest price increases and reduced inventory compared with last year illustrate the evolving relationship between supply and demand. Although market conditions remain measured, improved affordability relative to previous years continues to support a more accessible housing environment.

As 2026 approaches its final months, the direction of sales activity, housing inventory and pricing will remain important indicators of the GTA market's progression. October's results offer a constructive perspective, with positive monthly movements in both sales and prices providing a foundation for assessing market conditions heading into 2027.

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