Ontario’s housing market has seen major shifts recently, and new data from Teranet reveals surprising trends. Let’s break it down!

A Tale of Two Markets

While condos make up just 25% of property transfers across Ontario, they dominate in Toronto at 60%. In 2024, Toronto condo sales jumped 20% year-over-year, largely due to a surge in new build completions.

Investors Are Scaling Back

Multi-property owners (MPOs) once made up nearly 25% of buyers but have been pulling back since 2022. Large investors (owning 11+ properties) saw their market share shrink from 13% to 7.2%. However, well-funded single investors are still active, with 30% of MPO purchases in Toronto made without a mortgage.

Buyers Who Purchased at Peak Took Losses

One in four properties bought in 2022 and sold in 2024 were sold at a loss. The median loss in Ontario was $45,000, while in Muskoka, it skyrocketed to $240,000.

First-Time Buyers Are Older

The average first-time buyer in Toronto is now 40 years old, up from 36 in 2014. The average purchase price for first-timers has jumped from under $500K in 2011 to $1.3M in 2024.

Homeowners Are Staying Put

The average condo holding period has increased from under 7 years in 2015 to over 8 years today. For non-condos, it’s now 12.5 years. In Toronto, the holding period for non-condo owners has risen from 13.8 years in 2014 to nearly 18 years.

With ongoing uncertainties in interest rates and market conditions, we can expect more changes ahead. Stay informed!