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GTA Housing Market November Update: Home Sales Drop Again — But 2026 Could Be a Turning Point

The latest TRREB numbers are in — and the Greater Toronto Area (GTA) housing market just posted another slowdown.
December 3, 2025 by
GTA Housing Market November Update: Home Sales Drop Again — But 2026 Could Be a Turning Point
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Home sales, new listings, and average prices all declined year-over-year, showing that many buyers are still sitting on the sidelines and waiting for clearer economic signals.

But behind the slowdown, there are early signs of a 2026 rebound, according to industry leaders.

GTA Home Sales Fall 15.8% — Buyers Still Waiting for Stability

GTA REALTORS® recorded 5,010 home sales in November 2025, down 15.8% from November 2024.

New listings also fell to 11,134, a 4% year-over-year decline, signaling fewer sellers entering the market.

Seasonally adjusted, sales dipped slightly from October and listings edged down as well — reinforcing that both buyers and sellers remain cautious.

Why?

Most buyers are still waiting for:

  • Steadier economic signals

  • More certainty around employment

  • Clearer direction on borrowing costs

  • Confidence that prices have stabilized

TRREB President Elechia Barry-Sproule notes that many households want to take advantage of today’s lower prices and softer conditions — but they need long-term job confidence first.

Prices Down 5.8% Year-Over-Year — A Window of Opportunity for Equity-Based Borrowers

The MLS® Home Price Index Composite dropped 5.8% annually.

The average selling price fell 6.4%, landing at $1,039,458.

Month-over-month? Prices were roughly flat — suggesting the market may be finding its bottom.

For many homeowners and investors, this creates a unique opportunity:

  • Access home equity while values remain stable

  • Refinance before renewal costs rise

  • Use a second mortgage or HELOC alternative to consolidate debt

  • Purchase undervalued investment properties

At Lendworth, we’re already seeing increased demand from clients using equity-based solutions to position themselves for the expected 2026 rebound.

Economy Showing Strength — A Key Driver for the 2026 Outlook

TRREB’s Chief Information Officer Jason Mercer highlighted stronger-than-expected November economic results:

  • Better job numbers

  • Faster economic growth

  • Signs Canada is weathering global trade pressures

  • Major new infrastructure projects adding confidence

If momentum continues, buyer sentiment could shift faster than expected — especially heading into the spring 2026 market.

Inventory Healthy… For Now. Construction Needed to Avoid a Shortage

TRREB CEO John DiMichele emphasized that today’s buyers are benefitting from a well-supplied market.

But there’s a warning:

As inventory is absorbed, we will need new construction to refill the pipeline.

Ontario urgently needs more mid-range housing — options between condos and full single-family homes — to support first-time buyers and growing families.

All levels of government are being encouraged to introduce new incentives to keep housing supply moving.

What This Means for 2026: Lendworth’s Take

Based on November’s data and broader economic trends, here’s what we expect:

1. A tighter resale market by mid-2026

Current inventory won’t last if demand picks up.

2. Prices could stabilize, then rise modestly

Flat monthly prices suggest the bottom is near.

3. Increased demand for equity-based lending

Borrowers will look for:

  • Second mortgages

  • HELOC alternatives

  • Bridge loans

  • Refinance solutions

…to stay competitive when the market turns.

4. Investors preparing early

Savvy investors are positioning now while prices sit 5–7% lower than last year.

Final Word

The GTA housing market is cooling today — but the underlying economic signals suggest 2026 could mark the beginning of a turnaround.

If you're considering:

  • Accessing home equity

  • Consolidating debt

  • Refinancing

  • Preparing for a purchase in 2026

Lendworth can help you move early and stay ahead of the curve.