Toronto Area Prices Down 7% As Housing Continues To Tumble

About this video

In this March 2026 video, Tom walks through the February 2026 housing numbers for the Toronto Regional Real Estate Board area and explains why prices can be down year over year but up month over month. It helps buyers and sellers make sense of a confusing market made up of very different micro markets.

Key points

• For February 2026, Tom reported 3,868 sales across the board area, down about 6% from the year before, with new listings down 17.7% and active listings down 2.4%.
• The average price was down 7.1% year over year; by type, detached homes were over $1.5 million (down 11%), semis just over $1.2 million, townhouses $980,000 and condos $663,000 (down 8.1%).
• About 38% of the 19,000 active listings were in the City of Toronto, and about 65% of those were condos and condo townhouses.
• The hottest pockets were east and west of downtown, such as Riverdale and Leslieville at 109% of asking, where Tom says the list low strategy was back.
• Homes that sold were usually getting 95% to 99% of the last asking price, and Tom warns that getting money off asking does not guarantee a good price.

Questions answered in this video

Why are Toronto prices up month over month but down year over year?

Tom explains that the month over month rise from January to February happens almost every year, so it is not news. In this March 2026 video, the more meaningful comparison was year over year, where the average price was down 7.1%.

Why are homes in some Toronto neighbourhoods selling over asking in a slow market?

Tom says in areas like Riverdale, Leslieville, the Beaches and Bloor West there is little inventory, so sellers list low to draw multiple offers. He stresses this is a marketing strategy and does not mean homes are selling for more than they are worth.

Is getting money off the asking price a good deal?

Not necessarily. Tom notes that if a home is overpriced by $100,000 and you get $50,000 off, you may still have overpaid, while paying asking for a sharply priced home could be the better deal.

Related: Toronto real estate market updates | Selling your home | Buying a home in Toronto