Toronto Home Sellers Face Tougher Market as Listings Linger and Price Cuts Climb

The average Toronto home now sits more than a month on the market before selling, a sharp jump from last summer’s brisk pace-and a wave of increasingly aggressive price cuts is following close behind.

For buyers worn out by years of bidding wars, the change matters. The city’s long-running streak of rapid-fire deals is going quiet at the same time as headline inflation remains sticky and mortgage costs pinch budgets. Whether you’re trading a Cabbagetown rowhouse or a Scarborough condo, the numbers point to more negotiating room and less rush for purchasers eyeing a move this summer.

Days on Market Surges on King West and Beyond

MLS data reviewed by The Daily Toronto shows the average days on market (DOM) for Toronto-region properties hit 37 in June, the highest reading since early 2020. In central neighbourhoods like King West and the Annex, agents report luxury condos and even renovated Victorian houses taking 40 days or longer to find buyers-a stark contrast with the 17-day average of last June. Realosophy Realty says their listings downtown and in the Don Mills corridor are seeing more showings but fewer offers, pushing sellers into second and third rounds of price reductions by day 30.

The market’s cooling is particularly visible on Queen Street East, where two-bedroom condos are lingering for 45 days on average, according to local board statistics. In Leaside, homes priced over $2 million are now spending 50 days or more before snapping up a buyer, where turnaround times were under three weeks a year ago. Even with peak immigration sustaining the broader Toronto market, neighbourhood-specific slowdowns are undeniable.

Discounting Spreads as Buyers Hold the Cards

This slowness is breeding visible vendor anxiety. The Toronto Regional Real Estate Board reports the average sale-to-list price ratio fell to 96.7% in June-a four-year low-meaning the typical seller is accepting nearly $40,000 below their original asking price on a $1.2 million detached house. Sellers of older condos in Liberty Village and North York seem especially impacted, with agent data showing price drops of 8% to 10% common on units listed longer than a month.

Detached home sellers appear most eager: Week-to-week monitoring by Bosley Real Estate indicates 28% of listings city-wide underwent at least one price cut before selling last month, compared to just 13% last July. Even the downtown condo market is feeling the chill, as buildings on Mutual Street and Bay Street north of College see multiple units relisted at lower prices after stalling in the spring.

For buyers, patience may finally pay. If the current pattern holds, summer shoppers could see further softening, especially on properties that cross the 30-day threshold without offers. Agents recommend keeping an eye on listings in Forest Hill and the Junction-both now above 35 days DOM, according to Zolo.ca-where motivated sellers may blink first as competition rises. With the Bank of Canada in wait-and-see mode and more listings coming online for August, the city’s once-relentless seller’s market is showing rare signs of surrender.