Toronto's September 2025 Market: More Sales, Softer Prices

As of the September 2025 market report, sales in Toronto were up and prices were still drifting lower. The City of Toronto recorded roughly 5,500 transactions in September 2025, about 8.5% more than in September 2024, while the average sale price came in about 4.7% below the year before. More deals, softer pricing.

I am Moe Asgarian, a Principal Real Estate Broker with RE/MAX in Toronto, and most of what follows is what I was watching in my own listings and client deals through that month. The September 2025 numbers were encouraging on volume. They were not a price recovery, and it helps to keep those two things apart.

What September 2025 Looked Like in the City of Toronto

Total transactions in the City of Toronto came to about 5,500 in September 2025, roughly 8.5% above September 2024. That is a real improvement. In September 2025, new listings also rose by about 4% compared with September 2024, so the extra sales did not empty the shelves. Unsold active listings sat at roughly 29,000 at the end of September 2025, a level that had barely moved for several months.

The average sale price in September 2025 was about 4.7% lower than in September 2024, and homes were taking longer to sell than they did a year earlier, exactly as we expected. That is the whole September 2025 story in one line: buyers came back, and they came back on their own terms.

Average Prices by Home Type in September 2025

In September 2025, detached homes in the City of Toronto traded at roughly $1,700,000 on average. In that same month of September 2025, semi-detached homes came in near $1,020,000, townhouses near $929,000, and the average condo sale sat around $680,000.

Those averages were close to where they started 2025. At the beginning of that year I said publicly that I did not expect a dramatic rise or a dramatic fall in prices during 2025, and by September the numbers were backing that up. Rates matter, no question. But in parts of this market the inventory was so heavy that the cheaper borrowing of 2025 could not do much to prices on its own. A few months were still left in the year, and the September figures were already pointing that way.

Why the Benchmark Is a Cleaner Read Than the Average

Year over year, average detached prices in the City of Toronto were down less than 1% as of September 2025, which looks like stability. Be careful with that. An average is shaped by which homes happened to sell that month, in which pockets, and how many deals closed, so it can flatter or punish a market that has not really changed.

The benchmark, the HPI, is the more honest measure. On that basis, detached homes in the City of Toronto went from about $1.6 million in January 2025 to under $1.5 million by September 2025. There was a decline, but no collapse. Semi-detached homes were roughly flat over the same stretch because demand for them held up. Between January 2025 and September 2025, townhouse benchmarks eased from about $800,000 to about $760,000, and condos fell further than any other type because their supply is the heaviest. Across 2025 every property type softened gently, on high inventory and thin buying.

Condos Were More Than Half of Toronto's Active Listings

By September 2025, condos made up about 56% of all active listings in the market. That was not new. It had been the picture for roughly two and a half years, driven by investors stepping out of the Toronto condo market. Fewer investor purchases, thinner trading, prices that came down, and demand that stayed weak.

Freehold homes were in a different position in September 2025. Detached was close to balanced. Semi-detached was still seller-friendly, which is why a well-prepared semi in a good Toronto neighbourhood could still draw ten offers and sell above its asking price in that month.

What Actually Sold in the First Half of October 2025

In the first two weeks of October 2025 my team closed several of our own listings, and the common thread was preparation rather than price-chasing. One was a four-bedroom detached house in the Avenue Road and Lawrence area, a very good pocket of Toronto. The seller did a round of renovation work and we prepared the property properly, and it sold inside a month at a good, sensible number.

Another was a detached house in Ajax with tenants upstairs and downstairs. Because it was tenanted, we set the strategy from day one that it would sell with the tenants in place, agreed that with our seller, and collected enough documentation on the tenancies to put in front of a serious buyer. It sold to an investor at a figure that worked. Price it correctly, prepare it properly, run the process properly, and homes still sell in a market that hard.

What I Tell Buyers, Sellers and Condo Investors

My read on September 2025 is that it was a busy month. Buyers who had waited a long time finally bought, and sellers finally seemed willing to agree on price. On transaction count the signs were genuinely positive, better than September 2024 and better than 2022, though still far from the extraordinary volumes of 2020 and 2021, which were an exceptional period. Deal counts were improving. You could not yet call the market balanced.

So what should you do? If you were buying in the autumn of 2025, you still had plenty of choice, and choice is leverage. That stretch was a real chance to negotiate and get a good deal. If you were selling, you had to be ready to compete, and I told everyone the same three things: price realistically, prepare the home properly, and when a serious offer arrives, act on it and close. That autumn was not the time to chase the prices of a year earlier.

And if you owned a condo as an investor in the autumn of 2025 and were weighing selling against holding, my view was that if you can manage the cash flow and carry it, renting it out beats selling at a loss. My colleagues and I at Team Asgarian can help you buy or sell better. Fill out the form at the bottom of this page or book a free consultation and we can go through your own numbers together. Stay well and take care.