What Happened in the GTA Real Estate Market in May?

The Toronto market continued to improve in May.

More homes sold compared to the same time last year, while fewer new listings came to market. That means some of the excess inventory we've seen over the past year is starting to be absorbed.

Buyers still had a good selection and negotiating power through the spring, but competition is increasing in some neighbourhoods. If this trend continues, prices are likely to stabilize and gradually move higher over the coming months.

Lower interest rates and improved affordability are helping bring buyers back into the market. TRREB expects sales activity to strengthen further during the second half of 2026.

In May, 6,583 homes sold across the GTA, up 6.3% from last year. At the same time, new listings were down nearly 19%.

The average GTA home sold for $1,069,700, which is 4.6% lower than in May 2025. However, prices were slightly higher than they were in April, suggesting the market may be finding its footing.

Bottom line: Buyers still have opportunities, but the market is becoming more balanced. If sales continue to rise while listings remain lower, we could see prices level off and begin trending upward as we move into 2027.