As we move through 2026, the real estate landscape across the Greater Toronto Area continues to shift—and in my professional opinion, we are firmly in a buyer’s market with conditions that may persist throughout the year.

One of the biggest forces shaping the market is mortgage renewals. Many homeowners who locked in record-low interest rates five years ago are now facing renewals at significantly higher rates. For some, the new monthly payments are simply no longer affordable. As a result, we are seeing more properties coming to market—not necessarily by choice, but by necessity. This increase in motivated sellers adds further pressure to pricing.

At the same time, inventory levels are rising. Builder projects that were started years ago are now reaching completion, particularly in the condo sector. As more new units hit the market, buyers have greater selection and negotiating power, while sellers face more competition. Increased supply combined with cautious buyer sentiment typically leads to softer prices—and that’s exactly what we’re seeing.

Another trend that cannot be ignored is the increase in Power of Sale properties. Once a lender moves far enough into the Power of Sale process, their primary goal is to recover losses. That means properties are often priced aggressively and reduced until they sell. While these homes can come with risks and require careful due diligence, they also represent real opportunities for informed buyers working with an experienced Realtor.

Layer on top of this the broader economic and political uncertainty, including global tensions and potential tariff impacts, and it’s clear why many buyers remain hesitant. However, uncertainty often creates opportunity—and 2026 is shaping up to be a strong year for first-time buyers and investors who are prepared and well-advised.

For homeowners looking to sell and buy at the same time, it’s important to remember that real estate is always relative. While your current home may sell for less than it would have during peak market years, the home you’re purchasing is also likely priced lower—often resulting in a net advantage.

The key in 2026 is strategy, timing, and expert guidance. If you’re considering buying, selling, investing, or simply want a clearer understanding of how these market conditions affect your situation, I’m here to help. Reach out anytime for personalized advice and local market insight—you don’t have to navigate this market alone.