Home is Where the Heart Is: Spring 2026 Market Update

Home Is Where the Heart Is

Spring 2026 Market Update

(See below our spring message for the market update)

Some people search the world over, literally, looking for I don’t know what, and probably, neither do they.  I am going to let you in on a little secret – you won’t find your heart in a home or place until you have a place for your home in your heart.  That is, home is where the heart is.

What does this have to do with real estate?  Why, just about everything.  I have said this before in one of these blogs, and it remains as true as time, whether it’s an apartment, condo, townhouse, semi, detached, downtown, suburban, rural get-away, or a fortress, people love the idea of a home they can call their own.

For this reason, real estate will always play a major role in our lives and whether the market itself is up or down, people will always do whatever they can to find that home where they can find respite after a busy day, cook great meals, sit with family and friends, tend to their hobbies – like growing the best tomato plants they have ever seen (wink), and centre their lives.

So, forget about market timing and think more about personal timing.  Just like the stock market, which by the way many have been treating real estate (another secret, real estate can be a great investment, but is mostly a place we call home), if we could pick all stocks when they were at bottom, we would all be gazillionaires.  But digging through the mud to find a bottom?  Well, I think you get the picture. 

Real estate can be for investors, but that is a different type of person willing to take the risks of getting dirty looking through the mud and all the costs related to that in hopes of a reward.  Access to capital, a strong stomach, and a couple of handfuls of luck and it might work out for you.  (For your reference, the most recent run-up in real estate made a lot of millionaire investors, but mostly for the first ones in on the Ponzi scheme (see Bank of Canada calling condo market in Toronto showing all the signs of just such a scheme).

So, my advice, if you are a first-time buyer, or a move up buyer, or in a position to want to move, or just need to move, let’s look for the opportunities.  Generally, things are on sale.  Think of something you have wanted for a long time, a trip to Italy, a new car, a great night out at your favourite restaurant, those fancy shoes, that beautiful necklace you have been keeping an eye on.  Got it?  Now it is on sale, 25% off!  Would you go for it? 

Well, since the peak in 2022, prices in Toronto are about 25% down according to TRREB stats (of course this varies between types of properties, with some, condos for example, being deeply discounted. 

Just because something is on sale, does not mean you have to buy it.  But, if you have been planning a move up in property or first time buy for example, is 25% enough of an incentive?  Sure, you can wait to see if it goes down more, and it probably will over the course of this year, but then as prices go down, more competition enters and sooner or later you’re bidding with a few others for that dream property you wanted.

Like almost everything in life, it is a balance.  Price drops, interest rates, job security, economic stability, world outlook, and security all go into building, or breaking-down, consumer confidence.  That is, how comfortable you are in spending money, making those big purchases, and planning for your future. 

If you are ready to find a home for your heart, give us call and you will be Right at Home with us.

We wish you all the best this spring.  Time to get those plans for the garden started.  Where did I put those seeds?

Arlene and Berto

Real Estate Agents, Right at Home Realty, Brokerage

Arlene:  416 892-2916

Berto: 647 629-7524

 

TORONTO:  Market Update

️ Toronto’s Real Estate Market Right Now: What’s Actually Going On?

If you’ve been wondering whether it’s a good time to buy, sell, or just keep an eye on the Toronto market, you’re definitely not alone. The latest numbers from TRREB and CREA show a market that’s calmer than the roller‑coaster years we’ve just lived through—but still full of interesting shifts worth paying attention to.

Think of the current market as a reset: prices have cooled, buyers have more choice, and the frantic bidding wars of the past aren’t the norm right now. But affordability challenges and economic uncertainty are still shaping how people move.

Prices Have Softened—But Not Collapsed

Let’s start with what most people want to know: prices.

According to TRREB, the average selling price in January 2026 was $973,289, down 6.5% from the same time last year. The MLS® Home Price Index also dipped about 8% year‑over‑year.

That means homes are still expensive—this is Toronto, after all—but they’re not climbing at the breakneck pace we saw during the pandemic. For buyers who’ve been waiting for a bit of breathing room, this is the most approachable the market has felt in years.

CREA’s broader national data echoes this trend: 2025 ended with improved affordability, thanks to lower selling prices and easing mortgage rates.

What’s Happening With Sales?

Sales have slowed down too. TRREB reported 3,082 home sales in January 2026, which is 19.3% lower than January 2025. New listings also dropped by 13.3%, meaning fewer people are putting their homes on the market.

This combination—fewer sales and fewer new listings—creates a kind of “wait and see” vibe. Buyers are cautious, and sellers aren’t rushing to list unless they really need to.

But here’s the interesting part: even with fewer listings, inventory is still high enough that buyers have more options than they did a couple of years ago. That’s one of the reasons prices aren’t climbing.

️ Different Home Types Are Moving at Different Speeds

Not all property types are behaving the same way. Here’s the quick breakdown based on January 2026 TRREB‑area data:

Detached homes: Still the priciest segment, but also the one that’s seen the biggest price adjustments from pandemic highs.

Townhomes and semis: Popular with move‑up buyers who want more space without jumping into detached‑home territory.

Condos: Lots of supply right now, which means more negotiating power for buyers and slower price growth.

If you’re a first‑time buyer, condos are the friendliest entry point. If you’re upsizing, townhomes and semis offer better value than they did a couple of years ago.

Affordability Is Better—But Still Tough

CREA’s latest update highlights that 2025 ended with improved affordability, thanks to lower prices and easing mortgage rates. But “improved” doesn’t mean “easy.” Toronto is still one of the most expensive markets in the country, and many buyers are waiting for more stability in the economy before making big moves.

TRREB’s leadership has been vocal about the need for government action to help with affordability—things like tax relief, easing living costs, and supporting new housing development.

Buyer Sentiment: People Want to Buy… Eventually

Even though sales are down, the desire to own a home hasn’t disappeared. Many buyers—especially first‑timers—are watching the market closely, waiting for the right moment.

What’s holding people back?

High living costs

Uncertainty about interest rates

Concerns about job stability

The hope that prices might dip a little more

But here’s the flip side: once people feel confident again, there’s a lot of pent‑up demand that could come rushing back into the market.

What Might Happen Next?

No one has a crystal ball, but here’s what the data suggests:

The first half of 2026 will likely stay similar to what we’re seeing now: softer prices, steady inventory, and cautious buyers.

The second half of the year could see more activity if interest rates ease and the economy stabilizes.

First‑time buyers may play a big role in the rebound, especially if affordability continues to improve.

Condos will remain the most negotiable segment, while low‑rise homes could tighten up again if demand picks up.

In other words: the market isn’t booming, but it’s not crashing either. It’s resetting—and that can create opportunities depending on your goals.