Toronto Sellers Cut Prices as Homes Linger Longer on Market

The cooling Toronto real estate market has stretched average days on market to levels not seen since before the pandemic, prompting more homeowners to slash asking prices in hopes of a deal.

The trend comes at a pivotal moment for buyers and sellers alike: inventory is up across the city, interest rates remain high by recent standards, and last year’s immigration-fueled demand is colliding with a new wave of listing activity, particularly in the downtown and midtown corridors. For residents and investors watching the city’s dynamic market react to shifting conditions, this latest shift could spell a very different summer than those of the recent seller’s market era.

Midtown Homes Taking Longer to Sell

Real estate tracker Urbanation reports a sharp increase in the number of days properties are spending on the MLS. In Leaside and Davisville Village, traditional family homes that would have gone within a week in 2022 are now lingering for three or more weeks, according to data for June. Condos along Queen’s Quay and in Liberty Village, always a bellwether for the downtown market, routinely sit for 25 to 30 days before a successful sale or a price cut.

The Toronto Regional Real Estate Board’s (TRREB) June market data shows the city-wide average for detached homes hit 27 days on market, up from just 18 days at the same time last year. Condo units averaged 33 days, with some properties in CityPlace and Fort York remaining unsold for over a month. Realtors say this has led to a rise in vendor discounting, particularly for units initially priced with expectations set in last summer’s brisk market.

Discounts on the Rise Amid Higher Inventory

According to TRREB’s June report, the average selling price for a home in Toronto now stands at $1.088 million, down 2.6% from May’s figure. The number of active listings city-wide is up 21% year-over-year, increasing the need for competitive pricing strategies. Sellers in highly sought-after Midtown pockets, such as the Yonge & Eglinton corridor, are now routinely accepting offers between 3% and 6% below original listing prices, based on published sold data.

Veteran brokers cite rising holding costs and stiffer competition, especially for century homes in Riverdale and condos near Union Station, as major factors behind the willingness to cut prices. In the East End, semi-detached homes near Woodbine Avenue that would previously attract bidding wars are now posting two or even three price reductions before a deal closes, per MLS summary logs from June 2026.

With summer supply swelling, agents recommend buyers stay alert for price reductions across the city and submit conditional offers where inspections or financing are a concern. Sellers hoping to stand out, especially in saturated markets like the St. Lawrence neighbourhood, are being advised to revisit staging and pricing strategies as buyers continue to look for value and flexibility in negotiations. As July progresses and more listings hit the market following graduation season, all eyes will be on how quickly, or slowly, Toronto homes will move, and how much more room buyers have to bargain.

This article is general information only and is not personal financial or investment advice. Consider your own circumstances and seek licensed professional advice before making financial decisions.