GTA Inventory Hits Historic Highs—Here’s How Buyers and Sellers Should Pivot

The Greater Toronto Area real estate market is undergoing a dramatic shift—one we haven’t seen in years. According to the latest June 2025 data from the Toronto Regional Real Estate Board (TRREB), active listings have surged by 33.5% year-over-year, reaching one of the highest levels in recent history.

This significant rise in inventory changes the dynamics for everyone in the market—especially buyers, sellers, and investors. Here's what it means and how to take advantage of it.

Why Inventory Is Climbing

The increase in active listings is the result of multiple forces converging:

  • Delayed Listings Now Flooding the Market: Many homeowners held off listing during the interest rate hikes of 2023–2024. Now, as interest rates show signs of decline, more are ready to test the market.

  • Investors Rebalancing: Some property investors are cashing out of underperforming or break-even properties—particularly in the condo sector—adding more listings to the mix.

  • A Normalizing Sales Environment: June sales were down 16.4% year-over-year, which means homes are simply taking longer to sell. That alone inflates inventory, even without more new listings.

For Buyers: The Power Has Shifted

This is the moment strategic buyers have been waiting for.

  • More Choice, Less Pressure: With a 33.5% increase in inventory, buyers are no longer competing for a handful of properties. That means more negotiating power, especially in the condo and townhome segments.

  • Prices Have Softened: The MLS® Home Price Index benchmark for the GTA dropped to $995,100 in June—down 5.5% compared to last year. This reset gives buyers a rare opportunity to enter or upgrade within the market.

  • Opportunity for Upsizers: If you own a condo and have been waiting to move into a freehold or semi-detached home, this increased inventory could be your window. The price gap has narrowed, and you may be able to move up without the bidding wars of the past.

For Sellers: Adapt to the New Reality

While the increase in listings benefits buyers, it also means sellers need to level up their approach.

  • Price It Right the First Time: Today’s buyers are cautious and informed. Overpricing can mean extended time on market and unnecessary price reductions later.

  • Presentation Matters: With more homes available, buyers can afford to be selective. High-quality staging, professional photography, and strong marketing aren’t optional—they’re essential.

  • Know Your Audience: If you're selling a property that's currently tenanted or geared toward investors, your strategy should speak to that specific buyer group. Sell the upside—and be transparent about the numbers.

What This Means for Investors

Whether you’re looking to acquire your first rental or expand your portfolio, the current environment offers value opportunities. With softer prices and motivated sellers, it's a chance to secure assets that could appreciate when market conditions tighten again. But as always—buying the right unit in the right location matters more than ever.

Final Word

The surge in GTA inventory marks a turning point in the market cycle. For buyers, it’s a moment of opportunity. For sellers, it’s time to be smart, strategic, and supported by experts who understand how to navigate changing conditions.

At RE/MAX Wealth Builders, we help our clients build long-term wealth by understanding how to move in every market.
📞 Contact us today to plan your next move.

Sources:

  • TRREB June 2025 Market Stats

  • WOWA.ca GTA Market Trends

BlogAlex Wilson