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In a report published on August 13, 2025, CTV News highlighted that while Canada’s real estate market is starting to rebound, Ontario continues to face downward pressure on home prices. Notably, activity levels in July marked the highest monthly home sales since 2021, as reported by the Toronto Real Estate Board, signaling improving buyer interest.

The report, drawing on RBC’s outlook, attributes Ontario’s continued softness to high inventory levels and stiff competition among sellers, particularly in Ontario and British Columbia. Sellers are compelled to offer discounts, and home price declines are expected to persist into early 2026 before any stabilization occurs.

Complicating the outlook, dropping interest rates are improving affordability and gradually enticing buyers back into the market. Nevertheless, affordability remains strained, particularly in Ontario where costs relative to income remain elevated. The forecast is for modest price declines of about 1% in 2025 and 1.4% in 2026, while the broader Canadian market is expected to see slight gains—around +0.7% for the remainder of 2025.

Read the full article on: CTV NEWS