Discover the GTA’s most expensive neighbourhoods and what’s driving the shift at the top end of the market.
Luxury Real Estate Hits Pause: GTA’s High-End Market Feels the Chill
After years of record-breaking highs, the Greater Toronto Area’s luxury housing market finally hit a cooling point in the third quarter of 2025. Sales of homes priced over $3 million dropped roughly 15% year-over-year, signaling that even the wealthiest buyers are feeling the market’s shift.
According to Wahi’s latest analysis, just 321 luxury homes changed hands between July and September — down from 376 in the same period last year, and a 17% dip from the previous quarter.
“Even affluent buyers are playing it safe right now,” says Wahi economist Ryan McLaughlin. “They may have deep pockets, but they’re watching interest rates, global markets, and long-term trends before making their next move.”
Toronto Still Dominates the Luxury Scene
Despite the slowdown, the City of Toronto remains the beating heart of luxury real estate in the GTA. Of the 22 neighbourhoods with five or more luxury sales in Q3, 14 were located in Toronto proper — with classic enclaves like Rosedale, Forest Hill, and Yorkville continuing to lead the charge.
Interestingly, eight neighbourhoods actually increased their luxury home sales compared to 2024, showing that demand for prime locations is far from gone. These standout pockets include:
- Yorkville
- Rosedale
- Forest Hill
- Ledbury Park
- Lawrence Park
- The Beach
- Willowdale
- West Oakville (Halton)
Yorkville: The Epicentre of Opulence
If there’s one neighbourhood that continues to defy gravity, it’s Yorkville. With a median luxury home price of $6.25 million, this downtown district tops the GTA charts for Q3 2025. It’s not just about status — Yorkville’s blend of high-end condos, boutique retail, and walkable luxury lifestyle keeps global buyers interested even as the broader market slows.
The only other neighbourhood crossing the $5 million median mark this quarter was Casa Loma, where exclusive estates and heritage charm continue to draw ultra-wealthy buyers.
York Mills and Oakville: Quiet Power Players
In terms of sheer volume, York Mills led the GTA with 18 sales above $3 million, holding steady year-over-year. Close behind were Eastlake (17 sales) and Old Oakville (16 sales).
Eastlake, known for its waterfront mansions and custom-built estates, remains a fascinating case — it frequently ranks among the most underbid luxury markets in Wahi’s monthly Market Pulse, with buyers securing significant discounts in a cooler climate.
What’s Next for GTA’s Luxury Market?
Experts predict that the luxury slowdown may persist into early 2026 as interest rates, economic uncertainty, and global market volatility weigh on sentiment. However, for discerning buyers, this shift marks an opportunity window — especially in historically resilient areas like Yorkville, Rosedale, and Oakville, where long-term demand and limited inventory remain powerful stabilizers.
For investors and high-net-worth individuals, the message is clear: while the frenzy has faded, the fundamentals of GTA luxury real estate are still strong — and the best deals may be found before the next market rebound.
Lendworth Insight:
At Lendworth, we help sophisticated investors and property owners navigate Canada’s evolving real estate market with smarter mortgage solutions and private lending strategies tailored for luxury assets. Whether you’re refinancing a multi-million-dollar home or funding your next acquisition, our expert team ensures your equity works harder — even when the market cools.