Toronto condo market forecast 2026- A Detailed Discussion

Are you interested in investing in the Canadian real estate market? Then 2026 may be the right time to enter the market with Royal LePage forecasting that year over year in the fourth quarter of 2026 there would be a 1% increase in the aggregate price of homes in Canada. However, opportunities may arise in major markets like Toronto with the potential of continued decline in property prices with buyers continuously choosing to sit on the sidelines and watch how the market would pan out. This trend may continue into the new year and could present an opportunity for investors and first-time buyers to purchase properties at prime locations at the best price with current market conditions. With Royal LePage forecasting that the price of homes in the region is expected to decrease by up to 4.5 percent in the fourth quarter of 2026. In the same period, single-family detached properties are also expected to decrease by 1.0 percent and condo units potentially up to 6.5 percent, as well.

The help and support of a reliable, professional, and trusted real estate agent in the whole scenario will play a vital role. We, Trust Condos, provide detailed solutions to both buyers and sellers across the GTA region. Our team is always ready for your assistance, and we will provide you with detailed knowledge about the current Canadian real estate market.

Home Price May Rise in Major Markets

In 2026, home prices may rise in major markets across Canada. It is expected that the aggregate price of a home in the GTA region and Vancouver may decrease by up to 4.5 percent and 3.5 percent in the fourth quarter, as per Royal LePage. If you live in Montreal, it is expected that the rise in property up to 5.0 percent. While in Quebec City, the rise in property prices may be expected to be up to 12.0 percent.

With the support of Trust Condos, we will assist you throughout the process of purchasing a property from start to finish. Helping find the best property according to your needs and wants.

The Rate Cycle Comes to a Close

The Bank of Canada has reduced its target for the overnight lending rate four times in 2025. The main reason behind the decrease in the high interest rate is to support the cooling economy to keep the inflation on a sustainable path. It is expected that the bank may show further cuts if the economy shows weak signs, as Canada is already in a hassle with the USA in navigating the trade.

Removing Barriers are Important to Increase Housing Inventory

Stakeholders across the country are making their best effort to increase housing inventory without facing tough times. According to the recent report of the Canada Mortgage and Housing Corporation, the combined housing starts in Canada’s seven major census metropolitan areas remained near a record high in 2025. People strongly prefer housing gains start in Calgary, Edmonton, Montreal, and Ottawa, which were offset by a few investors who were not strong enough to capture the properties. Demand in Toronto and Vancouver illustrates sharp regional differences, and people always prefer to shift to these places for a modern lifestyle and good opportunities. In the whole scenario, Toronto is on pace for its lowest level of housing starts in three decades. The major slowdown in pre-construction sales, cancellations, and delays in project completion due to investors’ demands. The same situation Vancouver has faced, and the results may be the same.

The Government will Bring Stability

The government is taking initiative, and political leadership is opening the door for much needed progress on housing policy. With expectations that more projects will be completed in 2026. The Canadian housing market is moving forward again with a lot of benefits and solutions. It is expected that 2026 will be a good year for investors and first-time buyers to hold a property with decreased rates.

A Detailed Market Summary

Here is a complete market summary for the cities where prices for the properties will be under the approach of the buyers. As per Royal LePage 2026 Market Survey Forecast.

GTA (Greater Toronto Area)

If you are interested in buying a property or home in Toronto, it is forecasted that the price of the home is expected to decrease in the fourth quarter by up to 4.5 percent. During the same period, the price of a single-family detached property is expected to decrease by up to 1.0 percent. On the other hand, it is also expected that the price of the condo unit may decrease up to 6.5 percent.

Greater Montreal Area

In Montreal, it is forecasted that the aggregate price of the homes will rise by up to 5.0 percent. During the same year, the median price of a single-family detached property will rise to 6.0 percent, while the condo unit price will increase by 2.5 percent.

Greater Vancouver

In Greater Vancouver, it is forecasted that the aggregate price of a home may decrease in the fourth quarter by up to 3.5 percent, while during the same period, the median price of the single-family detached property is expected to decline 5.0 percent. The condo units may show a decrease of 3.0 percent.

Ottawa

In Ottawa, it is forecasted that the aggregate price of a home may increase in the fourth quarter of 2026 by 2.0 percent, while the median price of the single-family detached property is expected to rise 3.5 percent. 

Quebec City

It is forecasted that the aggregate price of a home may increase in the fourth quarter by up to 12.0 percent in Quebec City. While the median price in the same year for a single-family detached property is expected to rise 14.0 percent, the median price of the condo unit may increase 5.0 percent in 2026.

Choose Trust Condos

With the help of TrustCondos, we will help you to buy or sell a property and navigate the real estate market. Helping in every step of the process and finding the best deal according to your needs and wants. For further information, call us to set your appointment.

The information on this blog is based on our experience. Readers/Users are strongly recommended to obtain independent property, mortgage, legal, tax, or accounting advice. The information displayed is for reference only and without representations or warranties.