Hiring remained soft and unemployment ticked higher, but the central bank still isn't expected to cut soon

Don’t expect the sector to rebound anytime soon despite falling prices

Don’t count on rate cuts anytime soon, said banking giant.

Ontario home prices fell significantly over the past two years and some experts are advising prospective home buyers to sit tight and watch as further drops are expected in 2026.

The Canadian office vacancy rate dipped last year for the first time since the pandemic as the return-to-office trend accelerated, said a report out Wednesday from CBRE Ltd.

Annual Greater Toronto Area (GTA) home sales declined in 2025 compared to 2024, as economic uncertainty weighed on consumer confidence. Over the same period, listing inventory remained elevated, allowing for selling prices to be negotiated downward, helping improve affordability.

Greater Toronto home sales fell again on an annual basis last month, as buyers remained on the sidelines much like they did for the majority of the year amid a lack of confidence in the economy.

The Bank of Canada appears to have reached the end of its cutting cycle as 2025 drew to a close, a shift that carries clear implications for mortgage borrowers heading into 2026.

Commercial real estate firms say the return-to-office trend seems poised to ramp up into the new year, with landlords pivoting to accommodate the evolving needs of renters and their employees.

Bank of Canada officials agreed on holding the overnight rate at 2.25% earlier this month, but are unsure whether their next policy shift will be to lower rates again or to raise them.

Saying the wealthiest can afford to pay more, Toronto mayor Olivia Chow has increased the tax level on sales of homes over $3 million.

he number of home sales recorded over Canadian MLS® Systems declined 0.6% on a month-over-month basis in November 2025, still well above April levels but mostly unchanged since July.

Canadian households’ net worth rose at the fastest pace since the start of 2024 as the value of their financial assets jumped by the most on record.

The Bank of Canada has left interest rates unchanged in its last decision of the year, holding the policy rate steady amid lingering uncertainty over inflation and the economic outlook.

Builders have given up trying to sell thousands of condo units in Toronto over the past five years, data shows, as the city’s housing market grinds almost to a complete standstill.

Poll reveals growing demand for guidance amid affordability concerns and market uncertainty

In November 2025, the Greater Toronto Area housing market saw continued softness, with home sales, new listings, and average prices all lower than a year earlier as many buyers stayed on the sidelines awaiting better economic conditions. GTA REALTORS® reported 5,010 sales through TRREB’s MLS® System, a 15.8% decline from November 2024, while new listings totaled 11,134, down 4% year-over-year.

Will Canada see a renewal crisis next year, or can borrowers absorb the shock of higher rates?

Toronto’s mayor wants buyers of luxury homes to pay more tax, as a recent motion to the Executive Committee suggests raising the cost to buy Luxury Homes incrementally, between 0.9-1.1 per cent.

The Residential Construction Council of Ontario says housing starts in the Greater Toronto Area and broader Greater Golden Horseshoe region declined significantly in the first nine months of 2025 relative to recent years.