September 2025 Real Estate Market Update

The Greater Toronto Area (GTA) housing market saw a boost in activity in September, as buyers appeared more motivated to re-engage, especially following the mid-month interest rate cut.

Sales were up on both a monthly and yearly basis, 7.3% compared with August, and 12% compared with September 2024.

Inventory still closed the month 72% above the 10-year historical average, with a total of 29,394 active listings.

On a positive note for sellers, average home values rose 3.6% month-over-month, bringing the region’s average sales price to $1,059,377. However, some property types fared better than others.

The detached market gained back the losses that occurred in August. The September average sales price reached $1,359,030, representing a 3.5% monthly increase. Inventory rose 9% month-over-month, and 22% compared with last year. Detached sales also improved, climbing 10% monthly to 2,661 transactions.

The condo market also experienced gains in both price and activity. The average sales price across the GTA rose 2% on a monthly basis to $655,231. Sales increased by 5% compared with August. Inventory remained elevated at 9,233 active listings. Current condo supply is 74% above the 10-year historical monthly average, while sales remain 25% below long-term norms.

The semi-detached segment recorded a 3.6% increase in average sales price, reaching $1,015,543 in September. Sales climbed 14.7% monthly, with 506 properties changing hands. Inventory, however, remains near all-time highs with 1,659 active listings.

Townhomes sold for an average $947,928 in September, essentially flat on a monthly basis. Inventory rose 12% compared with August. Sales totalled 517, which represents a 4% increase compared to the same month last year.

Looking ahead, the housing market across the GTA continues to balance on the edge of opportunity and caution. With interest rates easing and inventory levels historically elevated, buyers are finding more choice and negotiating power. At the same time, sales activity remains below long-term averages, highlighting that market confidence has not fully returned. Whether momentum builds through fall will depend largely on the pace of additional rate cuts by the Bank of Canada, and how quickly buyers feel comfortable stepping off the sidelines.

If you would like to know how the real estate market performed in your neighbourhood, contact Clare Tattersall at 647-625-3282 or clare@realtorontowest.com.