Toronto: Greater Toronto Area home sales increased for a fifth consecutive month in July 2026, while prices also moved higher as improving signs from Canada’s economy helped support the housing market.
Seasonally adjusted home sales rose 3.2 percent from June to 5,582 units, according to data released by the Toronto Regional Real Estate Board on August 6. The increase pushed sales to their highest level since September 2025.
Home prices also recorded another monthly gain. The board’s seasonally adjusted home price index increased 0.3 percent from June to C$933,800 ($665,811), marking the second consecutive month of rising prices.
The Greater Toronto Area, which encompasses Canada’s most populous city and four surrounding regional municipalities, has seen housing activity improve in recent months despite continued uncertainty surrounding borrowing costs and the broader economic outlook.
Toronto Regional Real Estate Board Chief Information Officer Jason Mercer said recent economic developments had been more positive than anticipated, which could strengthen consumer confidence and encourage additional home purchases in the coming months.
Preliminary economic data has indicated that Canada’s economy expanded by 3.4 percent in the second quarter of 2026, which would represent its strongest quarterly performance in more than three years. Despite the improving month-to-month trend, the housing market remained weaker compared with a year earlier. Home sales in July were 0.9 percent lower year over year, while new listings dropped 17.8 percent.
The home price index was also 4.6 percent lower than a year earlier, highlighting the continued gap between the recent monthly recovery and housing market conditions in 2025.
The fifth consecutive monthly increase in sales suggests activity in the Toronto housing market is gradually strengthening, although borrowing costs and uncertainty surrounding Canada’s economy remain important factors for prospective buyers.
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