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Toronto's housing market is showing signs of recovery after a prolonged downturn. In July 2025, home sales in the Greater Toronto Area (GTA) increased by nearly 11% compared to the previous year, marking the strongest July performance in four years. This uptick is attributed to improved affordability driven by lower home prices and borrowing costs. However, the Toronto Regional Real Estate Board (TRREB) notes that while sales are rising, home prices continue to decline, with the average price dipping slightly to C$979,000. TRREB President Elechia Barry-Sproule emphasizes that more action, particularly on borrowing costs, is needed to sustain this momentum.

The recent surge in sales is also linked to increased listings, which have risen by 5.7% year-over-year. This influx of inventory is helping to meet the pent-up demand from buyers who had been sidelined during the market's downturn. The Bank of Canada's decision to maintain its interest rate at 2.75% has further contributed to the improved affordability, signaling a potential for future rate cuts if inflationary pressures ease. Despite these positive developments, affordability remains a concern for many potential buyers, as home prices are still considered high relative to income levels.

Looking ahead, experts suggest that while the market is showing signs of stabilization, challenges persist. The ongoing affordability issue, coupled with economic uncertainties, may continue to affect buyer confidence and market dynamics. For those in Richmond Hill and the broader GTA, staying informed about market trends and seeking professional advice will be crucial in navigating the evolving housing landscape.

Read the full article on: CTV NEWS