Ontario Housing Market Report
- Average home prices in Ontario decreasedby 8% year-over-year to reach$911,078
- Greater Toronto Area home prices decreasedby 8% year-over-year to$1.15M
- City of Toronto home prices decreasedby 10% year-over-year to$1.12M
- Ottawa home prices decreasedby 9% year-over-year to$678k
- Mississauga home prices decreasedby 8% year-over-year to$1.08M
- Brampton home prices decreasedby 12% year-over-year to$1.09M
- Hamilton home prices decreasedby 15% year-over-year to$807k
Average Home Prices in Ontario for April 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.
Ontario Housing Market as of April 2023
Ontario’s housing market has seen prices rise for the fourth consecutive month as tightening supply pushes up the prices of Ontario homes. For the month of April 2023, the province’s average home price was $911,078, up 3% month-over-month, the highest that it has been since May 2022. On an annual basis, Ontario’s average home price is still down 8% year-over-year. That’s somewhat better than the -16% year-over-year change seen last month as Ontario’s housing market continues to pick up steam.
Other Canadian provinces are also seeing similar growth in home prices. Neighbouring Quebec has seen prices rise 3% month-over-month as well, while BC home prices are up 3.5% month-over-month. Canada’s average home price rose 4% compared to last month, helped by strong growth in the Atlantic Provinces but weighed down by a slight decline in home prices in the Prairie provinces.
The Greater Toronto Area (GTA) housing market, which accounted for 17% of all home sales in Canada for the month of April 2023, saw continued to see support in home prices this month. The GTA’s average home price for April 2023 was $1,153,269, up 4% month-over-month and down 8% year-over-year. That matches the province’s 8% annual drop in home prices.
Sales activity in many of Ontario’s major housing markets remains lower year-over-year, but has seen significant improvements compared to the start of the year, in large part due to seasonality. Home sales in Toronto are down by 6% year-over-year and up 4% from last month, while Ottawa’s housing market is seeing a 21% decrease in sales year-over-year, up 25% from last month. Hamilton, Mississauga, and Brampton sales activity is also seeing similar patterns: a year-over-year dip in sales but steady growth in sales month-over-month.
Looking at Ontario’s major urban housing markets in terms of annual price change for April 2023, Hamilton has seen a 15% year-over-year decrease in average sold prices. Next up was London with a 14% decrease and Brampton with a 12% decrease. Ottawa’s 8.5% decrease and Mississauga’s 8% decrease remains close to the province’s average decline.
The average home price in Toronto’s housing market for April 2023 was $1,120,352 for the City of Toronto and $1,153,269 for the GTA. This means that the City of Toronto’s average home price has increased at a slightly higher monthly rate, 6%, compared to the GTA as a whole. Brampton had an average selling price of $1,088,311. Meanwhile, Mississauga home prices increased to $1,076,430.
The Ottawa and Hamilton housing markets remain cheaper alternatives to the GTA’s expensive home prices. Hamilton’s average sold price for April 2023 was $806,809, while Ottawa’s average sold price was $677,678, up 6.5% from last month. Real estate in London, Ontario, also remains relatively affordable, with an average price of $664,149. That’s up 5% from last month. Oshawa’s housing market had an average price of $833,714.
Housing Markets of Major Cities in Ontario
|City||Average Home Prices|
$1,120,352-9.9% vs. 2022
2,794,3562.3% vs. 2016
$677,678-8.5% vs. 2022
1,017,4498.9% vs. 2016
$806,809-15.0% vs. 2022
569,3536.0% vs. 2016
$1,076,430-8.0% vs. 2022
717,961-0.5% vs. 2016
$1,088,311-12.4% vs. 2022
656,48010.6% vs. 2016
Greater Toronto Area (GTA) Housing Market Overview
Greater Toronto Area (GTA) Housing Market Trends
Toronto Housing Market Overview
Toronto Housing Market Trends
Ottawa Housing Market Overview
Ottawa Housing Market Trends
Hamilton Housing Market Overview
Hamilton Housing Market Trends
Mississauga Housing Market Overview
Mississauga Housing Market Trends
Brampton Housing Market Overview
Brampton Housing Market Trends
London Housing Market Overview
London-St. Thomas Housing Market Trends
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 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|
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 Growth||2024 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.