The Greater Toronto Area housing market began 2026 with a shift in tempo, as January saw a strategic adjustment in both sales activity and pricing. There were 3,082 home sales reported throughout the month, representing a 19.3 per cent decrease compared to January 2025. While overall transactions have moderated from previous year-over-year benchmarks, the market continues to benefit from a gradual increase in choice for motivated buyers, with active listings rising by 8.1 per cent to reach a total of 17,975 homes.
The GTA’s average selling price adjusted to $973,289 in January, a 6.5 per cent dip from the same period last year. On a seasonally adjusted basis, both the MLS® Home Price Index (HPI) composite and average price trended lower compared to December 2025, signaling a continued period of price discovery as the market recalibrates to current economic indicators and a Bank of Canada key lending rate of 2.25 per cent.
The 2026 TRREB Market Outlook suggests that the evolving landscape for new homes and condominiums is expected to play a pivotal role in shaping the GTA’s real estate trajectory in the coming months.
The detached home market saw 1,352 transactions in January, with an average price of $1,277,915. While sales for this segment were down 13.6 per cent year-over-year, the detached category remains the most active by volume.
Semi-detached properties recorded 278 sales during the month of January, with the average price sitting at $945,967. This represented a 9.7 per cent price adjustment compared to January 2025, offering a more accessible entry point for buyers seeking low-rise housing options in a
competitive landscape.
Townhomes across the GTA accounted for 552 transactions, with an average sale price of $819,543. Though sales volume in this sector declined by 23.7 per cent year-over-year, the
segment continues to be a vital middle-ground for families, maintaining a steady share of the overall market.
Meanwhile, condominiums remained a significant driver of activity. A total of 856 condo apartments changed hands in January at an average price of $604,759. While prices in this
sector adjusted by 9.8 per cent from January 2025, with the continued availability of inventory providing a genuine opportunity for first-time buyers to enter the market under more favourable conditions.
January’s data reflects a market that is purposefully finding its balance. With new listings reaching 10,774 and the Sales-to-New-Listings Ratio (SNLR) trending toward 33.3 per cent, the GTA is moving into a phase where buyers have greater leverage and more time to make informed decisions. As mortgage rates remain stable and employment growth continues to support the region's economy, the GTA housing market is well-positioned for a sustainable and optimistic outlook throughout 2026.
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