Ontario Housing Market Report
- Greater Toronto Area's average home price decreasedby 6.5% year-over-year to$973,289.
- City of Toronto's average home price decreasedby 3.7% year-over-year to$948,698.
- Ottawa's average home price decreasedby 4.3% year-over-year to$641,436.
- Mississauga's average home price decreasedby 9.9% year-over-year to$943,607.
- Brampton's average home price decreasedby 10% year-over-year to$882,710.
- Hamilton's average home price decreasedby 3.0% year-over-year to$734,639.
Average Home Prices in Ontario for January 2026
Historical Average Home Prices in Ontario
Ontario Average House Prices by City
Ontario Housing Market as of January 2026
Ontario’s housing market cooled further in January 2026, with the average home price falling to $778,102, down 2.8% from December 2025 and 6.4% lower than a year earlier. Nationally, Canada’s average home price declined to $652,941 in January 2026, down 2.6% year-over-year.
There were 7,737 home sales in Ontario in January 2026, down 12.1% from December 2025 and 15.6% below last year. New listings rebounded seasonally from December 2025 to 24,111 in January 2026, though market activity was still softer in Ontario, which CREA attributed in part to a historic winter storm that hit major Ontario markets during the month. Inventory remained the dominant story: months of supply climbed to 6.0 in January 2026, a buyer’s market signal.
The total value of homes sold in Ontario was about $6.0 billion in January 2026 (sales × average price), down 21% year-over-year, reflecting the unseasonally slow January this year.
Regional Insights
Greater Toronto Area (GTA)
The average home price in the GTA in January 2026 was $973,289, down 6.5% year-over-year and down 3.3% monthly. That’s the lowest since January 2021. The City of Toronto’s average home price is $948,698, down 3.8% year-over-year.
Some suburban areas, such as Mississauga and Brampton, are experiencing larger year-over-year price declines, with Brampton's average home price down 10.4% year-over-year to $882,710. Similarly, Markham home prices are down 9.7% year-over-year. Mississauga average home prices are down 9.9% year-over-year.
Ottawa
Ottawa's housing market had an average home price of $641,436, down 4.3% year-over-year and down 2.7% month-over-month. On the other hand, Ottawa’s benchmark home price is down 2.0% year-over-year, down 1.4% month-over-month to $606,700. Ottawa’s robust job market, particularly in the public sector, and high quality of life make it an attractive destination for Ontario homebuyers.
Kitchener-Waterloo and London
Kitchener-Waterloo and London have seen significant growth in the past few years, with their tech sectors attracting young professionals, although home price growth has slowed. The average home price in the Kitchener-Waterloo-Cambridge Region is $716,911 in December 2025, down 6.1% year-over-year. In London’s housing market, the average home price is $624,550 for January 2026, down 3.6% year-over-year.
Key Points
Price Trends
Central Ontario remained the most expensive region in Ontario in January 2026, with an average home price of $987,922. Prices were down 6.0% year-over-year, reflecting continued adjustment in and around the GTA as buyers face higher supply and more cautious demand.
Southern Ontario, which includes Hamilton and Niagara, recorded an average price of $713,604, down 6.3% from a year earlier. While the region has long attracted buyers priced out of Toronto, affordability pressures and elevated borrowing costs have kept price growth muted.
Northeastern Ontario posted an average price of $693,284, a 5.9% decline year-over-year. Eastern Ontario also softened, with an average price of $600,594, down 1.9% from last year, suggesting more subdued conditions in and around Ottawa compared with recent months.
Western Ontario recorded an average price of $562,033, down 4.8% year-over-year, continuing to offer relatively more affordable options than markets closer to Toronto. Northern Ontario remained the most affordable region in the province at $364,509, and was the only region to post an annual increase, up 0.9% year-over-year.
Ontario Regional Average Home Prices for January 2026
| Region | Average Home Price | Annual Change | Largest City |
|---|---|---|---|
| Central Ontario | $987,922 | -6.0% | Toronto |
| Southern Ontario | $713,604 | -6.3% | Hamilton |
| Northeastern Ontario | $693,284 | -5.9% | Barrie |
| Eastern Ontario | $600,594 | -1.9% | Ottawa |
| Western Ontario | $562,033 | -4.8% | London |
| Northern Ontario | $364,509 | 0.9% | Sudbury |
Interest Rates
Despite multiple interest rate cuts from the Bank of Canada between June 2024 and October 2025, Ontario's market has failed to respond positively, unlike many other provinces. Unaffordability and economic uncertainty, particularly related to tariff concerns, appear to weigh heavily on buyer confidence in Ontario's markets.
Housing Markets of Major Cities in Ontario
| City | Average Home Prices (January 2026) | Population (2021) |
|---|---|---|
| Toronto | $948,698 -3.7% vs. 2025 | 2,794,356 2.3% vs. 2016 |
| Ottawa | $641,436 -4.3% vs. 2025 | 1,017,449 8.9% vs. 2016 |
| Hamilton | $734,639 -3.0% vs. 2025 | 569,353 6.0% vs. 2016 |
| Mississauga | $943,607 -9.9% vs. 2025 | 717,961 -0.5% vs. 2016 |
| Brampton | $882,710 -10.4% vs. 2025 | 656,480 10.6% vs. 2016 |
Ontario’s Housing Market Forecast: Things to Watch
| Negative Impact | Positive Impact |
|---|---|
| Higher Interest Rates | Higher Immigration Levels |
| Government Policies: | Housing Inventory Shortage |
| Mortgage Stress Test Changes | Stronger Economic Recovery |
| Vacancy Tax and Foreign Speculation Tax | |
| Foreign Buyer’s Ban | |
| Zoning and Increased Supply of Housing | |
| Rent Control |
Housing Markets Across Canada
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