Are Homes Still Expensive in Toronto? Let’s Look at the Numbers.
With interest rates in flux and headlines buzzing about affordability, many are asking: Are homes in Toronto actually more expensive today than a few years ago?
To answer that, we compared real estate market data from February 2022, April 2024, and September 2025 — and the results might surprise you.
📊 Toronto Real Estate Snapshot: 2022 vs 2025
| Metric | Feb 2022 | April 2024 | Sept 2025 |
|---|---|---|---|
| Purchase Price | $1,334,000 | $1,156,000 | $1,077,602 |
| Interest Rate | 3.3% | 4.7% | 3.89% |
| Land Transfer Tax (Toronto) | $43,310 | $39,190 | $36,054 |
| Monthly Payment | $5,216 | $5,250 | $4,213 |
📉 What This Means for Buyers
Home prices have dropped by over $250,000 since early 2022 — great news for buyers waiting on the sidelines.
Despite higher interest rates in 2024, they've since dipped slightly, helping to bring monthly mortgage payments down by $1,000+ compared to 2022.
Land transfer taxes have decreased as well, making upfront costs slightly more manageable.
So while rates aren’t at historic lows, the overall cost of owning a home — from the purchase price to your monthly payment — is actually more affordable today than it was a few years ago.
🤔 So, Are Homes Still “Expensive”?
That depends on your perspective. Yes, homes in the GTA are still priced in the million-dollar range, but relative affordability has improved. Buyers now benefit from:
✅ Lower home prices
✅ Slightly reduced interest rates (compared to 2024)
✅ More inventory and buyer choice
✅ Decreased land transfer taxes
👀 What’s Next for the Toronto Housing Market?
With more interest rate cuts anticipated, monthly mortgage payments could continue to fall — which may bring more buyers into the market. And as demand increases, prices could begin to rise again.
If you’ve been waiting for the right time to buy, this might just be it.
📞 Let’s Chat About Your Next Move
Whether you're buying your first home, moving up, or downsizing — I'm here to help you make sense of the market and find the perfect fit.
👉 Call or text me anytime at 416.878.9774
📧 Or visit www.claudiawrightrealestate.com
🔚 Final Thought
Don’t let outdated info hold you back. The market is shifting — and it might be shifting in your favor.