Ontario Housing Market Report

WOWA Trusted and Transparent
Market Report Summary for February 2023
Updated March 16th, 2023
  • Average home prices in Ontario
    by 20% year-over-year to reach
  • Greater Toronto Area home prices
    by 18% year-over-year to
  • City of Toronto home prices
    by 12% year-over-year to
  • Ottawa home prices
    by 16% year-over-year to
  • Mississauga home prices
    by 18% year-over-year to
  • Brampton home prices
    by 24% year-over-year to
  • Hamilton home prices
    by 21% year-over-year to

Average Home Prices in Ontario for February 2023

Historical Average Home Prices in Ontario

Note: Data sourced from the Canadian Real Estate Association (CREA), the London and St. Thomas Association of REALTORS®, and other regional or local realtor boards.

Best 5-Year Fixed Mortgage Rates in ON
Mortgage Term:

Ontario Housing Market as of February 2023

A resurgence in Ontario home prices in February 2023 has brought the province’s average home price to $865,279, up 8% month-over-month, the highest that it has been since June 2022. Despite that, Ontario’s average home price is still down 20% year-over-year compared to the housing market’s peak last February. That’s the largest year-over-year drop of any Canadian province this month.

The 20% decrease in prices over the past year has been brought on by Bank of Canada rate hikes and rising Canadian mortgage rates, which has affected demand for homes. The 8% increase in prices compared to last month might show some support in prices as demand returns to the market.

As home prices in Ontario remain lower year-over-year, they’re also lower across the country. Canada’s average home price, at $662,437 for the month of February 2023, is down 19% year-over-year. BC’s housing market is seeing average prices down 15% year-over-year. However, some Atlantic provinces are starting to see home prices increase again. PEI home prices are up 6% year-over-year. The same year-over-year increase can be seen in Newfoundland.

The Greater Toronto Area (GTA) housing market, which accounted for 16% of all home sales in Canada for the month of February 2023, saw some support in home prices this month. The GTA’s average home price for February 2023 was $1,095,617, up 5.5% month-over-month and down 18% year-over-year. That’s slightly better than the province’s 20% annual drop.

Sales activity in many of Ontario’s major housing markets remains lower year-over-year. Home sales in Toronto are down by 47% year-over-year while Ottawa’s housing market is seeing a 40% decrease in sales year-over-year. Activity in Hamilton’s housing market has also slowed, with Hamilton's sales activity down 62% year-over-year. Mississauga home sales are down 55% year-over-year and home sales activity in Brampton is significantly down by 58% compared to last year.

Looking at Ontario’s major urban housing markets in terms of annual price change for February 2023, the GTA had an 18% year-over-year decrease in average sold prices. Next up was Ottawa with a 16% decrease in prices year-over-year. Mississauga saw a 18% decline in prices year-over-year, while Hamilton home prices are down 21%. Brampton's housing market has seen a significant 24% decrease in average sold prices year-over-year, while Oshawa’s housing market had a 30% year-over-year decline in prices.

The average home price in Toronto’s housing market for February 2023 was $1,071,043 for the City of Toronto and $1,095,617 for the GTA. Brampton had an average selling price of $1,028,192. Meanwhile, Mississauga home prices increased 10% compared to last month to rise to $1,009,803.

The Hamilton and Ottawa housing markets remain cheaper alternatives to the GTA’s expensive home prices. Hamilton’s average sold price for February 2023 was $800,584, while Ottawa’s average sold price was $631,582. Real estate in London, Ontario, also remains relatively affordable, with an average price of $621,912. Oshawa had an average price of $767,034.

Housing Markets of Major Cities in Ontario

CityAverage Home Prices
(February 2023)
-11.5% vs. 2022
2.3% vs. 2016
-16.1% vs. 2022
8.9% vs. 2016
-21.0% vs. 2022
6.0% vs. 2016
-17.6% vs. 2022
-0.5% vs. 2016
-23.6% vs. 2022
10.6% vs. 2016
Best 5-Year Fixed Mortgage Rates in ON
Mortgage Term:

Greater Toronto Area (GTA) Housing Market Overview

February 2023

Greater Toronto Area (GTA) Housing Market Trends

Greater Toronto Area (GTA) Real Estate Report

Toronto Housing Market Overview

February 2023

Toronto Housing Market Trends

Toronto Real Estate Report

Ottawa Housing Market Overview

February 2023

Ottawa Housing Market Trends

Ottawa Real Estate Report

Hamilton Housing Market Overview

February 2023

Hamilton Housing Market Trends

Hamilton Real Estate Report

Mississauga Housing Market Overview

February 2023

Mississauga Housing Market Trends

Mississauga Real Estate Report

Brampton Housing Market Overview

February 2023

Brampton Housing Market Trends

Brampton Real Estate Report

London Housing Market Overview

February 2023

London-St. Thomas Housing Market Trends

London Real Estate Report

Ontario Housing Market Forecast for 2023

Ontario’s housing market saw a sharp correction in prices in 2022 as Bank of Canada rate hikes brought about rising interest rates, stifling demand. Looking forward, Ontario’s housing market forecast for 2023 depends on a few factors.

A pause in Bank of Canada rate hikes, something that is widely predicted as inflation eases off and as the risk of a recession increases, might even translate into rate cuts this year. Immigration, looking mainly at newcomers and international students, has also been returning to normal levels. More people looking for a home will boost demand. Met with a shortage in housing inventory, a surge in buyers will introduce upward pressure on housing prices.

The federal government banned foreign buyers from buying a home in Canada, starting in 2023. Should interest rates continue to increase, demand will be crippled further.

Ontario’s Housing Market Forecast: Things to Watch

Negative ImpactPositive Impact
Higher Interest RatesHigher Immigration Levels
Government Policies:Housing Inventory Shortage
Mortgage Stress Test ChangesStronger Economic Recovery
Vacancy Tax and Foreign Speculation Tax
Foreign Buyer’s Ban
Zoning and Increased Supply of Housing
Rent Control

A look at house price forecasts by Canada’s major banks gives us a look at what they predict Ontario house prices will be in 2023 and 2024.

RBC predicts that Ontario home prices will decrease 13.7% in 2023, and increase 2.9% in 2024. RBC also forecasts that home sales in Ontario will decrease by 13.9% in 2023 and increase by 34.1% in 2024.

TD predicts that Ontario average home prices will fall by 13.3% in 2023 before rising a modest 0.8% in 2024. For Ontario home sales, TD forecasts an 8.1% decrease for 2023 and an 18% increase in 2024.

Ontario Housing Market Forecast 2023 and 2024

Forecast By:2023 Price Growth2024 Price Growth

Housing Markets Across Canada

Data sourced from the Toronto Regional Real Estate Board (TRREB) and the Canadian Real Estate Association (CREA). Any analysis or commentary is the opinion of the analysts at WOWA.ca and should not be construed as investment advice. Please consult a licensed real estate professional before making a real estate investment decision. The trademarks MLS®, Multiple Listing Service® and the associated logos are owned by The Canadian Real Estate Association (CREA) and identify the quality of services provided by real estate professionals who are members of CREA.