May 2026
The Greater Toronto Area housing market continued to tighten in May 2026, with rising sales and a notable decline in new listings pointing to strengthening demand and shrinking supply.
According to the latest data from TRREB’s MLS® System, GTA REALTORS® reported 6,583 home sales in May 2026, representing a 6.3 per cent increase compared to May 2025. At the same time, the number of new listings fell sharply, with 17,698 properties entering the market—an 18.9 per cent decline year-over-year.
The combination of increasing buyer activity and fewer homes available for sale suggests that standing inventory is being absorbed at a steady pace. As a result, competition among buyers has likely intensified in certain neighbourhoods across the region. If these trends persist, the GTA could be entering a period of renewed price stability, with values potentially beginning to trend upward in the months ahead.
The market also strengthened on a month-over-month basis. Seasonally adjusted figures showed that home sales rose by 10 per cent in May compared to April 2026, while new listings declined by 2.1 per cent. This further underscores the tightening market conditions and growing imbalance between supply and demand.
Despite this shift, home prices remained below year-ago levels. The MLS® Home Price Index (MLS® HPI) Composite benchmark was down 6.7 per cent compared to May 2025. The average selling price across the GTA came in at $1,069,700, a decrease of 4.6 per cent year-over-year.
However, there were early indications that the pace of price declines may be easing. On a seasonally adjusted basis, the average selling price edged slightly higher in May compared to April 2026, while the MLS® HPI Composite benchmark declined only marginally.
Overall, the May 2026 data paints a picture of a market that is gradually rebalancing. Buyers are returning, inventory is tightening, and competition is beginning to build once again. While affordability remains improved relative to last year, current conditions suggest that the window of opportunity for buyers may narrow if demand continues to strengthen through the summer months.
Sources & Notes
i - Statistics Canada, Quarter-over-quarter growth, annualized.
ii - Statistics Canada, Year-over-year growth for the most recently reported month.
iii - Bank of Canada, Rate from most recent Bank of Canada announcement.
iv - Bank of Canada, Rates for most recently completed month.
v - Information supplied by TRREB
