The latest numbers from the Toronto Regional Real Estate Board (TRREB) show that the Greater Toronto Area housing market continued to adjust in February, with fewer homes changing hands and even fewer new properties coming to market.
Across the GTA, 3,868 homes sold through TRREB’s MLS® System in February 2026, down 6.3% compared with February 2025, while 10,705 new listings were added to the market. A sharper 17.7% decline year over year.
What stands out most is that supply is shrinking faster than demand. Even though many buyers are still taking a wait-and-see approach, fewer listings could quickly create tighter conditions as we move deeper into spring.
Central Toronto Relevance
In neighbourhoods across Central Toronto, inventory has always played a major role in how quickly momentum returns.
When fewer homeowners decide to list, buyers who have been waiting often become more competitive the moment the right property appears. That is especially true in established family neighbourhoods where turnover is naturally limited.
We are already seeing that many buyers remain engaged: watching closely, revisiting listings, and waiting for a stronger signal that prices have stabilized.
Buyers Are Present but Selective
TRREB estimates that more than 100,000 potential buyers across the GTA are currently holding off on making a home purchase, waiting for prices to level off and for greater economic certainty.
That hesitation does not mean demand has disappeared, it simply means buyers are being more deliberate.
For Central Toronto sellers, this creates a market where presentation, pricing, and timing matter more than ever. Well-positioned homes are still attracting attention but buyers are taking longer to make decisions and comparing options carefully.
Prices Continue to Adjust
The GTA’s average selling price in February was $1,008,968, down 7.1% from last year, while the MLS® Home Price Index benchmark declined 7.9% year over year.
These are broad regional figures, but in Central Toronto, pricing often behaves differently depending on neighbourhood, school district and housing type.
Detached homes in sought-after midtown pockets can still outperform broader averages when supply remains limited, while condos and entry-level segments may continue to feel more pricing pressure.
A Market That Still Feels Transitional
What February really shows is a market that has not fully chosen its direction yet.
Buyers are waiting for confidence. Sellers are watching whether spring will bring stronger activity. With fewer listings entering the market, there is real potential for conditions to tighten if demand returns quickly.
For anyone planning a move in Central Toronto this year, the next few months will likely offer the clearest signal of where the market is heading.
If you would like specific market advice tailored to your situation, reach out to us at clientcare@lomeirwin.com