August is almost gone, and with summer holidays wrapping up, the real estate market typically experiences a seasonal slowdown — and this year is no exception. The first half of 2025 has been marked by economic uncertainty, with many buyers adopting a “wait-and-see” approach. Inventory continues to climb, putting downward pressure on prices across many segments of the market.
NOTABLE SHIFTS
Aggressive Offers on the Rise: Buyers in the GTA are testing their bargaining power by submitting low offers on all types of properties. Many sellers are pushing back by refusing to counter and letting these offers expire. Others who have to sell, are accepting less than they wanted. Markets are hard and homes are selling if they are reasonably priced.
Quality Still Commands Attention: In the Port Credit area, a recent listing attracted multiple post-sale inquiries from buyers who waited too long to act. Well-presented, move-in-ready homes are still selling- while dated or unrenovated homes remain opportunities for those seeking a bargain or a fixer-upper.
Conditional Offers Making a Comeback: “Sale of Purchaser’s Property” clauses — common in softer markets — are reappearing. “We just completed a double deal in Lorne Park under these terms that worked out extremely well for our clients,” says Kevin Larose. These clauses can be effective when the buyer’s current home is highly saleable in a sought-after neighbourhood.
FINANCING & ECONOMIC BACKDROP
Over the past two months, borrowing costs have edged higher, with the Bank of Canada holding its key lending rate steady this summer. Buyers seeking mortgages can expect fixed and variable rates around 4%, prompting many to carefully evaluate whether the numbers make sense for their budget.
While global trade tensions continue, the bigger driver for buyers remains affordability. RBC maintains its forecast that Canada will avoid a recession, instead projecting modest, gradual growth through the remainder of 2025.
SIGNS OF POSITIVE MOMENTUM
There are encouraging indicators that the market may be turning a corner:
Sales Activity: July unit sales rose 10.9% year-over-year, with 6,100 sales through TRREB’s MLS system.
Listings: New listings increased 5.7% compared to July 2024.
Pricing: The average selling price declined 5.5%, improving affordability for buyers.
Strategic Mississauga Insight: Neighbourhoods such as Port Credit, Lorne Park, Mineola and Lakeview remain in high demand for their school districts, walkability, and lake access. Even in a slower market, these areas tend to hold value better, making them attractive for long-term investment.
LOOKING AHEAD...
Sellers still hold an advantage — they have the asset — but negotiations are more complex than during the frenzied markets of the past few years. This makes it essential to work with an experienced real estate professional who can skillfully navigate offers, conditions, and pricing strategies to secure the best outcome for you and your family.
The GTA market’s resilience continues to shine through. As uncertainty lifts, expect conditions to stabilize and values to gradually appreciate.
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