Toronto Beaches Real Estate in 2025:
What You Need to Know
The real estate market in the Toronto Beaches is starting 2025 on a positive note. With lower interest rates and new policies making it easier to buy a home, we’re seeing more confidence from both buyers and sellers. While housing prices remain high, this year is shaping up to be more active than 2024. Here’s what’s happening in the market and what it means for you.
Mortgage Rates Are Dropping
The Bank of Canada just lowered interest rates, making it cheaper to borrow money for a home. The current rate is now 3.00%, and experts predict it could drop even further to 2.00–2.50% by the end of the year. If that happens, fixed mortgage rates could settle around 4%, making monthly payments more affordable than they were last year.
Good News for First-Time Buyers
If you’re looking to buy your first home, there’s more help available. The government has raised the limit on insured mortgages from $1 million to $1.5 million. This means buyers can put down a smaller down payment, making it easier to afford a home—especially in high-demand areas like the Beaches.
More Homes Will Be Sold This Year
Because borrowing is getting cheaper, more people are expected to enter the market. Home sales in Toronto could rise by 6–8% compared to last year. In the Beaches, we expect more listings and a more active spring and summer market.
Housing Is Still Expensive
Even with lower mortgage rates, home prices remain high. In Toronto, the average price of a home is $1,120,000 and could reach $1,150,000–$1,175,000 by the end of the year. In the Beaches, detached homes are still selling for over $1.5 million. While prices won’t skyrocket, they are expected to rise 3–5% this year.
New Rules to Protect Buyers and Sellers
New laws under Ontario’s Trust in Real Estate Services Act (TRESA) will take effect this year, making real estate transactions more transparent and secure. These changes will help ensure that buyers and sellers have better protection and clearer information throughout the process.
What This Means for the Beaches Community
With the market becoming more active, now is a good time to start planning if you’re thinking about buying or selling. Lower mortgage rates mean buyers will have more purchasing power, and sellers may see more interest in their homes.
We’ve already seen more activity in the Beaches this year compared to 2024. However, affordability remains a challenge, and political changes in both Canada and the U.S. could impact the market.
If you’re curious about how these changes might affect your situation, we’d love to chat. Whether you’re buying, selling, or just keeping an eye on the market, we’re here to help.
—Adrienne & Bram