Welcome to the Engel & Völkers 2024 Year-End Canadian Luxury Real Estate Market Report. On-the-ground intel from local Engel & Völkers Canada experts, combined with market data, informs our analyses and serves as the basis for trends and forecasting. Homes over $1 million throughout the first half of the year, as listed on the MLS, were evaluated. The result is a residential property and market report for Halifax, Montréal, Ottawa, Toronto and Vancouver.
5425 Stonebridge Drive
Engel & Völkers Vancouver
National Overview
Home sellers awaiting the “holy grail” spring market may find too much company
The spring 2025 market is poised for an interesting dynamic as sellers strategically waiting on the sidelines prepare to list their properties following five consecutive interest rate reductions. If all home sellers list at once, this temporary surge in inventory — driven by sellers timing their entry for this promising market window — will likely create brief downward pressure on prices. However, this dip is expected to be transitory. Once this initial wave of listings is absorbed, the market is projected to rebound, with prices trending upward again. The phenomenon reflects a classic case of market self-correction: the very
anticipation of ideal selling conditions creates a temporary oversupply, which then naturally adjusts as the market digests the increased inventory.
The long-awaited market recalibration appears to have entered its final phase
The long-anticipated market recalibration is showing signs of progression, with October 2024 unit sales data marking what appeared to be a turning point in Canada’s postCOVID recovery cycle. October’s uptick in activity indicated the beginning of an upward trend and a move away from the stagnation that characterized much of the last two years. Many buyers remained cautious until year-end, staying on
the sidelines as they waited for the dust to settle after recent interest rate reductions.
First-time homebuyers drive surge in activity as new incentives and $1.5 million insured mortgage cap boost confidence
Engel & Völkers reports a surge in activity among first time homebuyers as they prepare to capitalize on new government incentives and regulations to ease entry into the housing market. Mortgage applications are climbing, and qualified buyers are steadily returning. Engel & Völkers real estate advisors are fielding a growing volume of inquiries from prospective buyers while sellers are gearing up for the 5%
In Vancouver, detached homes $2M–$3.99M showed resilience with under 5% fluctuation.
5425 Stonebridge Drive Engel & Völkers Vancouver
5425 Stonebridge Drive
Engel & Völkers Vancouver
spring 2025 real estate market. A significant policy change that took effect December 15, 2024, is bolstering the market further. The insured mortgage cap, which allows buyers to secure mortgage insurance with a down payment of less than 20 per cent, will rise from $1 million to $1.5 million, better reflecting the realities of today’s home prices.
The recovery of Canada’s condo market hinges on the resurgence of competition in the detached housing market, as affordability pressures drive buyers back toward higherdensity living. This shift is expected to gain momentum in the second half of 2025, once demand for houses intensifies and prices climb beyond the reach of many buyers. While this excess inventory will take time to absorb, the market will eventually face a supply shortage as new condo developments remain stalled. This impending scarcity is likely to reshape the condo market dynamics, leading to increased competition and upward pressure on prices in the years ahead.
Canada invests $9 million to address skilled trades shortage, boosting workforce with 1,500 internationally trained professionals
Canada is grappling with a skilled trades shortage, particularly in construction, as demand surges for infrastructure, housing and industrial projects. To address this, the government is investing over $9 million through the Foreign Credential Recognition Program to help 1,500 internationally trained professionals join the workforce.
Announced by Member of Parliament Randy Boissonnault, the funding will support the United Brotherhood of Carpenters and Joiners of America’s Bridge to Red Seal project, aimed at integrating skilled workers into Canada’s growing economy.
Halifax
Halifax’s premium detached market tightens as $1 million to $1.99 million new listings plunge 51% in 2024, from 153 in Q2 to 75 in Q4.
Welcome to Halifax
In 2024’s second half, Halifax’s real estate market was characterized by guarded optimism, as many buyers adopted a “wait-and-see” approach in anticipation of interest rate cuts by the Bank of Canada.
This hesitation impacted sales activity, with many buyers seeking more favourable market conditions. Despite this, migration has played a significant role, particularly since 2019, in maintaining pressure on the housing supply. While inter-provincial migration slowed in 2024, demand for housing remained robust.
Government policy changes sparked renewed buyer interest, but tight inventory in key areas elevated prices. Sellers with properties in high-demand areas continued to benefit from these conditions while the broader market waited for additional rate cuts. Meanwhile, the government made efforts to increase housing supply to alleviate some pressure, but affordability remained an ongoing challenge.
The luxury market experienced a notable slowdown in 2024’s second half, reflecting higher interest rates and reduced buyer confidence. Historically driven by affluent out-ofprovince and international buyers, the market began to recover only after two consecutive 50-basis-point rate cuts in late 2024. Prime areas such as Halifax, the South Shore and Cape Breton saw a slight uptick in inquiries and transactions.
The $1 million to $2 million range emerged as the strongest performer, consistently offering premium features and privacy compared to larger urban centers like Toronto or Vancouver. This price range accounted for the highest
transaction volume over $1 million, underscoring its position as the bracket with the most activity.
Listing activity in 2024 mirrored traditional seasonality, with volumes steadily increasing through the spring months. March and April saw significant jumps, and May marked the
“Halifax’s real estate market remains resilient, with strong demand for $1 million to $2 million properties offering magnificence, comfort and value. With interest rate cuts expected and growing demand for waterfront and suburban homes, 2025 presents opportunities for buyers and sellers alike.”
Donna Harding License Partner Engel & Völkers Nova Scotia
busiest month for new listings. While properties in the $1 million to $1.99 million range consistently drove the most activity, higher price points saw limited and sporadic listings, reflecting their niche nature. Seasonal trends dominated, and suburban and rural areas captured growing interest as buyers sought more value outside urban cores.
Average Sold Price
Property Spotlight
126 Main Street, Wolfville, Nova Scotia
Christa Southcott . Engel & Völkers Nova Scotia
This distinguished Wolfville estate commands an enviable position overlooking the Minas Basin, embodying the essence of Maritime luxury living. Set on an expansive, development-potential lot in Wolfville’s most coveted neighbourhood, this masterfully renovated residence artfully weaves contemporary sophistication with irreplaceable historic grandeur.
The estate’s thoughtful transformation preserves architectural heritage while integrating refined modern amenities that discerning buyers expect. Premium finishes and meticulous attention to detail are evident throughout, elevating this property above the ordinary.
After an initial market presence during the pandemic, this exceptional offering returned in the summer of 2024, precisely calibrated to today’s luxury market. Attracting significant interest from qualified buyers, the estate achieved a landmark $1.9 million sale price in October 2024, establishing a new benchmark for Wolfville’s luxury market.
This transaction validates the property’s intrinsic value and firmly positions Wolfville among the Maritimes’ most desirable luxury markets. For those seeking authenticity, presence, and unmatched quality of life, this estate represents the very finest of Wolfville living.
Advisor’s Commentary
This landmark transaction represents more than a sale — it embodies the remarkable evolution we’re witnessing in the Annapolis Valley. Having first listed this property in early 2022, we recognized that its initial pricing was perhaps ahead of market readiness. However, by late summer 2024, we observed a distinct shift in the Valley’s high-end segment, primarily driven by out-of-province buyers seeking exceptional properties in historic settings.
The successful sale, just steps from our Engel & Völkers Wolfville shop, is a testament to the property’s value and the market’s maturation. It represents the increasing recognition of Wolfville as a premier destination. Guiding the sellers, from initial listing to final closing, was particularly meaningful as it showcased how our strategic patience and market insight achieved an optimal outcome.
The Annapolis Valley’s luxury market evolution is exemplified by this landmark $1.9 million sale, reflecting growing demand from out-ofprovince buyers seeking premium properties in historic settings.
2539 Highway 331
Engel & Völkers Nova Scotia
Engel & Völkers predicts Halifax residential properties worth over $1 million will see a 3% price increase in the first half of 2025.
Market Outlook
In 2025’s first half, the market is expected to see price stabilization or modest growth, supported by further interest rate cuts and heightened activity in the spring. Buyers should remain strategic, leveraging government incentives and falling mortgage rates, while sellers are advised to list their properties early in the year to capitalize on increased demand.
Properties in the $1 million to $2 million range will continue to dominate, offering value to affluent buyers seeking space, nature and coastal living. High-end properties near Halifax
and waterfront locations in Lunenburg, Chester and Baddeck will remain highly sought-after, appealing to buyers looking for lifestyle investments.
New rental developments expected in 2025 will add inventory but are anticipated to be high-priced, further driving interest in suburban and rural properties where development is reshaping market dynamics.
NEIGHBOURHOOD RADAR
Halifax
West End
North End
Downtown Dartmouth
Bedford
Montréal
Montreal’s 32% new listing plunge shields $1 million to $3.99 million range from price correction as $1.5 million average price level holds.
Welcome to Montréal
In the latter half of 2024, Montréal’s real estate market embodied a sense of cautious anticipation. Buyers approached the market thoughtfully following two interest rate cuts in fall 2024, which spurred some immediate activity but did little to shift the prevailing “wait-and-see” mindset. Many continued to hold off on buying or selling homes, anticipating further interest rate reductions expected in the first half of 2025. Despite this, Montréal maintained its reputation as a desirable market for long-term investment due to its limited inventory of luxury detached properties, enduring lifestyle appeal and investment potential.
While interprovincial movement slowed, the city’s unique blend of culture, gastronomy and quaint neighbourhoods kept demand for real estate steady. Key premium neighbourhoods such as Outremont, Westmount and the Golden Square Mile remained in high demand, offering refined living experiences for established families and ambitious professionals.
The over $4 million market for detached homes revealed notable price fluctuations in 2024, with average sold prices for residential class properties ranging from $4.2 million in January to $7.93 million in March and $4.7 million in October. Fewer but higher-value transactions drove these fluctuations, showcasing the range of luxury detached home types in Montréal. Meanwhile, though highly niche, the $4 million-plus condo market showcased similar trends, with two standout sales averaging $11.9 million in October 2024.
The $1 million to $3.99 million segment demonstrated steady and consistent growth. Residential properties saw gradual
price increases, rising from $1.42 million in January to $1.55 million in November. Condos experienced consistent averages, from $1.45 million in January to $1.33 million by December. Price stability illustrates this sustained demand, driven by buyers seeking high-quality, move-in-ready homes.
In October 2024, Montréal’s real estate market saw sales
“Montréal continues to define luxury living with its blend of architectural beauty, vibrant culture and unrivalled lifestyle. With anticipated market growth and the enduring appeal of its premier neighbourhoods, 2025 promises to be interesting for buyers and sellers alike.”
Patrice Groleau
License Partner Engel & Völkers Montréal
3950 St. Joseph Boulevard
Engel & Völkers Montréal
volume soar to $1.08 billion for all price points combined, a 60 per cent increase from October 2023. This growth reflects renewed confidence in the city’s market as buyers capitalize on its long-term value and sustainability.
By November 2024, the ongoing decline in interest rates since June, combined with new government initiatives to support homeownership, fostered a welcoming environment for pent-up buyers to re-enter the market and alleviate pressure. The lowered cost of financing property purchases had substantially boosted transactional activity throughout the month.
The market in December largely followed its usual seasonal patterns, with slower activity going into year-end. However, more units were sold in December than in August. The
Average Sold Price
unexpected spike in transactions in December suggests increased buyer confidence, possibly driven by favourable lending conditions.
Montréal has shown exceptional resilience in the resale market, distinguishing itself as a standout among Canadian cities. While other major metropolitan areas face challenges such as higher household debt, reduced savings and declining purchasing power. Montréal continues to exhibit stability and confidence, solidifying its reputation as a premier destination for real estate investment.
Property Spotlight
Nestled on the shores of the prestigious Lac-Beauport in Capitale-Nationale, this impressive Colorado-style property represents the pinnacle of exclusivity. Lac-Beauport, renowned for its breathtaking natural beauty, is home to some of the region’s most luxurious residences, making this sale a landmark in the local real estate market.
Sold “as-is” for $9 million in February 2024, the property offered a rare opportunity for visionary buyers. The interior had been completely demolished and was undergoing extensive renovations, leaving the new owners with a blank
canvas to create a bespoke living experience. Restoration to its original grandeur required an additional $1 million investment, further underscoring the extraordinary potential of this estate.
This transaction reflects not only the desirability of LacBeauport but also the enduring appeal of properties that combine architectural distinction with an unrivalled lakeside setting.
367 Chemin Tour-Du-Lac
Cédrick Benoit . Engel & Völkers Montréal
Advisor’s Commentary
This property is undoubtedly one of the most impressive I’ve had the privilege to represent and sell in my career. From the moment I first stepped onto the grounds, it was clear this residence was something truly special. Each visit felt like an escape to a luxurious vacation resort, surrounded by the serene beauty and grandeur of the setting.
We hosted several highly successful private showings, each one further reinforcing the sense of reverence it inspired in prospective buyers. The combination of its architectural beauty, prime location and resort-like atmosphere made it a standout in every sense.
It’s an honour to have been part of this sale and to bring such an extraordinary property to market, showcasing the unique and unparalleled opportunities Engel & Völkers can offer.
Lac-Beauport’s luxury market is thriving with rising values and demand for waterfront homes. Limited inventory fuels bidding wars, drawing in buyers for its proximity to Quebec City.
Engel & Völkers predicts Montréal residential properties worth over $1 million will see a 5% price increase in the first half of 2025.
Market Outlook
The outlook for 2025 suggests continued strength across both luxury and mid-luxury segments. The $1 million to $2 million range is expected to dominate, offering buyers a balance of luxury and value while accommodating evolving lifestyle preferences. Over the past four years, many local luxury buyers in Montréal have secured homes they plan to hold on to for the long term. As a result, much of the city’s prime inventory is unlikely to return to the market until these homeowners are ready to downsize or relocate for other reasons.
As a significant number of mortgages come up for renewal at substantially higher rates, the entry-level luxury segment is expected to see a rise in listings as some homeowners face challenges in affording their properties. This shift could potentially create an imbalance in the market, with an excess of listings outpacing buyer demand. In 2025, sellers should carefully consider their initial pricing strategy to ensure it aligns with current market conditions and attracts serious buyers from the start.
5713 1re Avenue
Engel & Völkers Montréal
NEIGHBOURHOOD RADAR
Montréal
Westmount
Outremont
Rosemont
Town of Mount Royal Le Plateau-Mount Royal Saint-Laurent
Lasalle
East Island | Hochelaga Maisonneuve
Villeray | Ahuntsic
Ottawa
Properties priced between $1 million and $1.99 million accounted for 9% of all real estate transactions in 2024.
Welcome to Ottawa
In 2024’s second half, Ottawa’s real estate market began recovering after a prolonged period of caution. By October, inventory levels stabilized at approximately 2.8 months of supply, marking an improvement over mid-year figures and reflecting growing confidence among buyers and sellers. Residential home prices remained relatively stable, with modest increases in key segments. Residential properties priced between $1 million and $1.99 million saw average sale prices peak at $1.27 million in September.
Although sales volume across the Ottawa market has not returned to pre-pandemic levels, on a year-to-date basis, home sales totaled 11,662 units in October 2024, an increase of 9.4 per cent from the same period in 2023. This unexpected strength in the fall market diverged from typical seasonal slowdowns after mid-October. Despite the uptick, buyers remained cautious, often walking away from pending transactions due to inspection concerns or price disagreements. Sellers resisted lowering prices, contributing to longer listing times.
The luxury market experienced consistent performance in 2024. The $2 million to $3.99 million residential segment recorded 256 new listings throughout the year, with prices peaking in November at $2.9 million. While this range showed steady demand, only 69 units sold throughout the year, indicating buyer selectivity and building inventory.
In the ultra-luxury $4 million-and-higher segment, residential properties saw just 24 new listings and three sales, with the highest recorded sale of $5 million in January. This niche segment remains exclusive, characterized by limited activity
and prolonged listing times. In September, Engel & Völkers Ottawa recorded an additional off-market sale in the $4 million-plus range by real estate advisor Hussein Zeineddine. The $1 million to $1.99 million residential segment dominated the market, with 1,329 new listings and 1079 units sold annually. Prices in this range showed minimal fluctuation, averaging $1.25 million annually, further solidifying its
“Prices in Ottawa rarely experience dramatic swings, making this market an excellent choice for long-term stability. We expect gradual growth and a solid start to 2025, with sales volume continuing to build.”
John King License Partner Engel & Völkers Ottawa
position as a key driver of market activity. Condo sales in this range were modest, with 39 units sold and prices peaking in September at $1.38 million, reflecting the segment’s appeal to specific buyers.
Market seasonality was evident across all price points. Spring months, particularly April and May, consistently recorded the highest activity levels, with May seeing 273 new residential listings in the $1 million to $1.99 million range. Summer months, especially July and August, experienced slowdowns, with activity rebounding in September and October. The rental market softened as new inventory came online, with high-end rentals facing scrutiny for subpar amenities despite premium pricing. Fraudulent rental listings also led more renters to rely on real estate professionals, a trend gaining traction nationally.
Average Sold Price
Ottawa’s luxury market experienced mixed performance throughout 2024. The over $2 million residential segment saw 280 new listings but completed only 72 sales, reflecting this market’s exclusivity. Meanwhile, properties priced between $1 million to $1.99 million accounted for 9 per cent of all transactions in 2024, with affluent buyers gravitating toward walkable neighbourhoods like Westboro-McKellar Park and The Glebe.
Property Spotlight
64 St. Claire Avenue
Daria Kark . Engel & Völkers Ottawa
AREA 4,400 sq. ft.
PRICE $1.75 million
64 St. Claire is an exceptional custom-built luxury residence that epitomizes modern sophistication and comfort. This stunning home features a GOHBA-nominated kitchen, thoughtfully designed with a family-sized island, professional-grade appliances and a spacious dining area perfect for entertaining. The bright and airy living room is centred around a striking gas fireplace, complemented by a convenient main-floor office.
The second floor is a sanctuary of luxury, anchored by a breathtaking primary suite with an expansive walk-in closet and a spa-inspired en suite, complete with a wet room and a luxurious soaker tub. Two additional bedrooms share a bathroom with heated floors, while a fourth bedroom, a
main bath and a spacious laundry room add convenience and versatility.
The fully finished lower level expands the living space with two bedrooms, a three-piece bath, a gym, and a recreation room, offering endless possibilities for relaxation and entertainment. Outside, the beautifully landscaped and fenced yard provides a private oasis for gatherings and leisure.
Award-nominated for its impeccable kitchen and primary bath en suite, this home is a masterpiece, designed for sophisticated living. BEDROOMS
Advisor’s Commentary
The sellers, who are highly connected in the community, interviewed four agents before deciding to list with us. They chose Engel &Völkers for our exceptional branding, deep market knowledge and unparalleled global reach. In a highly competitive market, we delivered a standout marketing strategy highlighting the property’s unique features and value, ensuring it stood out.
This strategic approach resulted in a very successful sale in a relatively short time frame, even as other similar properties remained on the market. The trust the sellers placed in our expertise and the global exposure we offer proved invaluable in achieving this outcome.
We’re proud to have represented this property and exceeded our clients’ expectations with a seamless and efficient sales process.
The luxury market was slow this summer, with six similar homes listed in the area. This property was the only one to sell — and remains the only sale to date.
Engel & Völkers predicts Ottawa residential properties worth over $1 million will see a 5% price increase in the first half of 2025.
Market Outlook
Overall, Ottawa’s market trends highlight a robust midtier luxury segment, niche ultra-luxury activity, and stable pricing, offering a balanced outlook for 2025. Looking ahead, Ottawa’s real estate market is poised for further growth as interest rates decline and more qualified buyers enter the market.
Engel & Völkers projects a 15 to 20 per cent increase in sales volumes by year-end 2025. The luxury segment is expected to remain a buyer’s market while the overall market edges closer to favouring sellers.
Developers faced financial challenges throughout 2024, resulting in project delays or cancellations, which could impact future supply despite ongoing demand. Provincial zoning changes permitting multifamily developments in residential neighbourhoods are expected to reshape the market, increasing density but potentially creating tensions in established neighbourhoods.
480 Golden Avenue Engel & Völkers Ottawa Central
NEIGHBOURHOOD RADAR
Ottawa
Westboro
Glebe
Manotick
Toronto
Luxury real estate defies rate and market pressures as $10 million sales triple in Toronto in 2024’s second half.
Welcome to Toronto
In 2024, the Toronto real estate market saw significant shifts, driven by evolving buyer preferences, policy changes and broader economic conditions. At the start of the year’s second half, activity remained slow as new listings surged, giving buyers abundant choices and reducing competition. Despite early interest rate cuts, many buyers stayed on the sidelines, anticipating further reductions.
By July and August, home prices remained stable, but sales were slower than expected despite increased listings. In September, buyer activity picked up, aided by rising listings and greater negotiating power, a trend that gained momentum in October as the Bank of Canada’s consecutive interest rate cuts spurred more buyers into action.
In the $1 million to $2 million range, activity surged in October but didn’t beat the annual high of 1,035 units sold in May. This October growth in units sold is attributed to a series of fall interest rate cuts and a new policy affecting firsttime home buyers from the Canada Mortgage and Housing Corporation (CMHC). It increased the mortgage insurance cap (the maximum home price for which buyers can obtain mortgage insurance when making a down payment of less than 20 per cent) from $1 million to $1.5 million, effective December 15, 2024. Buyers in this range now require only a five per cent down payment on the first $500,000 and 10 per cent on the remaining for closings submitted after this date and have begun entering the market, signalling a level-up effect as sellers in this range move into higher price points. October numbers in the $1 million to $1.99 million segment reflected this momentum, with robust sales activity of 701 units sold pointing to a bullish outlook for 2025.
Conversely, the condo market remained flat, plagued by oversupply and mismatched pricing. Developers paused launches or shifted to purpose-built rentals, leveraging GST exemptions. Overall, the glut of small-sized condos deterred buyers, as many sought properties to cohabitate or raise a family.
“If you plan to sell in early 2025, Engel & Völkers Toronto Central recommends listing mid-January. Spring often brings more competition with similar homes in your neighbourhood, while mid-January typically has fewer listings, potentially leading to a higher sale price. This strategy has proven successful in past years.”
Anita Springate-Renaud License Partner
Engel & Völkers Toronto Central
Resale condos outperformed new builds, shifting buyer preferences toward livability over novelty. In the current market, resale offers better value per square foot when compared to new builds, which have seen prices balloon due to growing developer fees and labour, material and land acquisition costs. Many new build condos, priced at $1,500–$2,000 per square foot, struggled to attract buyers in 2024, while resale condos, offering larger spaces for $1,000–$1,400 per square foot, presented better value.
The luxury market, insulated from interest rate impacts due to paying in cash or finding other funding sources, outperformed expectations. Compared to the first half of the year, sales in the $6 million-plus range from 33 sales to 46, while the $7.5 million-plus segment grew from 12 sales to 24. During this same period, the $10 million-plus segment grew from 3 sales to 10 sales. This growth was primarily fueled by ultra-luxury detached properties, reflecting strong demand for in the second half of 2024.
Average Sold Price
Meanwhile, conventional housing markets exhibited seasonal trends, with September and October driving notable spikes in activity as buyers sought to list or secure purchases before the holiday season. Migration trends did not affect the luxury market, as most newcomers sought rentals, and demand for rental properties persisted, particularly among those unable to enter the ownership market.
December was seasonally quiet, with pockets of activity in key neighbourhoods. In anticipation of a competitive spring 2025 market, some buyers prepared by getting pre-qualified for mortgages to secure their buying position.
Property Spotlight
#805 – 161 Roehampton Avenue
Jason DeLuca . Engel & Völkers Toronto Central Yorkville
The sale of #805 – 161 Roehampton Avenue showcases the unmatched expertise and marketing prowess of Engel & Völkers. Featuring 1,276 square feet of refined interior living space, a den, three bathrooms, and a stunning 351-squarefoot west-facing terrace with gas and water lines, this twolevel suite presented an exciting opportunity. Prior to being represented by Engel &Völkers, it had been on the market for two-and-a-half months with another agent, with only eight showings and no offers.
Following the successful sale of #803 – 161 Roehampton Avenue, highlighted as a Property Spotlight in the 2024 Mid-
Year Market Report, the owner of suite 805 approached Engel & Völkers to understand what set our approach apart. With four other multilevel suites in the building unsold, the power of Engel & Völkers’ bespoke marketing strategy yielded exceptional results.
After re-listing the property and implementing a completely revamped approach, suite 805 attracted 21 showings, received three offers, and achieved a firm sale within just two months. This success underscores how Engel & Völkers’ commitment to tailored strategies and premium service turns challenges into extraordinary outcomes.
Advisor’s Commentary
After taking over a property listed above market value, with inconsistent pricing and poor marketing, the property looked unfavourable online. I knew we needed to reposition it completely.
The success of this sale isn’t due only to Engel & Völkers’ exposure — it’s due to our understanding that high-quality marketing is key in a competitive market. Creating top-tier visuals, strategic promotions, and compelling storytelling helped ensure the property stood out and attracted serious buyers.
As a local expert, I highlighted the property’s unique features and value. I attended every showing, walking buyers and agents through the space to show its valueadd features and address objections in real time.
The sale of suite 805 reflected a shifting market in mid-2024, as price sensitivity and standout marketing became crucial. With two rate cuts, buyer confidence rose.
Engel & Völkers predicts Toronto residential properties worth over $1 million will see a 3% price increase in the first half of 2025.
Market Outlook
In 2025, Toronto’s real estate market is expected to strengthen, particularly detached homes and freehold properties, with rising prices and increased buyer competition. As interest rates decline, more buyers are anticipated to re-enter the market, intensifying competition. An influx of new listings is expected to hit the market by the third week of January.
Engel & Völkers advises sellers to prepare now to support the optimal listing strategy for their property in 2025. As competition intensifies in the residential home market, many buyers will be priced out, driving renewed consumer demand for condos. However, the current mismatch between listings and buyer demand means it will take time for residential inventory levels to balance.
46 Millbrook Crescent Engel & Völkers Toronto Central Yorkville
Runnymede - Bloor West Village
NEIGHBOURHOOD RADAR
Toronto
“The Toronto market is set for moderate growth in 2025, driven by lower interest rates and increasing sales despite supply constraints. A slight rise in home prices is expected, signalling a balanced market. Engel & Völkers Toronto City advises buyers to act now as the freehold market heats up while the condo market recovers.”
Patrice Groleau License Partner, Engel & Völkers
Toronto City
The Pocket
City of Toronto
Vancouver
In
2024, $2 million to $3.99 million detached homes demonstrated the most resilience with fluctuations under 5%.
Welcome to Vancouver
The 2024 Vancouver real estate market paints a cautiously optimistic picture. Last year, listings increased, surpassing the 10-year average following a difficult 2023 and 2024. A significant surge in September 2024 listings provided muchneeded inventory, though high-quality listings remained limited. Two consecutive interest rate drops at 0.5 per cent reignited buyer activity, with updated mortgage rules, such as insured mortgages up to $1.5 million, fostering optimism and greater market participation.
Detached homes dominated listings, sales and average prices across all segments, highlighting their strong market appeal. In contrast, the ultra-luxury market priced above $4 million experienced limited activity, particularly for semidetached homes and condos, reflecting niche demand and constrained supply. Seasonality played a significant role, with listings and sales peaking in April and May, followed by a summer slowdown in July and August and a slight recovery in the fall.
The $1 million to $1.99 million range was the most active, with strong demand for detached homes and two-bedroom condos. Throughout 2024, prices in this range remained stable, averaging $1.53 million to $1.59 million for detached homes, while two-bedroom condos averaged $1.21 million to $1.36 million despite slight summer dips.
The $2 million to $3.99 million range also showed robust activity, especially for detached homes, which saw the annual high of 1,029 new listings in April and peaked in sales with 352 units in May. Average prices for detached homes in this segment remained steady at $2.57 million to $2.69
million, while two-bedroom condos displayed gradual price growth, reaching $2.84 million in July.
In the ultra-luxury $4 million and higher segment, fall real estate activity did not beat the annual highs in spring, when April listings peaked at 289 properties and sales volumes
“The Vancouver luxury market shows strong demand for detached homes, steady midluxury activity and spring peaks, reflecting its resilience. Prices have remained stable for two years, and Engel & Völkers Vancouver predicts continued stability with slight increases, potentially nearing 2022’s pricing high by year-end.”
Andrew Carros Chief Operating Officer Engel & Völkers Vancouver
topped out at 55 units in May. Semidetached homes and condos in this price bracket showed minimal activity, with few or no sales in most months.
Prices in the $4 million and higher range were varied, with detached homes averaging $5.05 million to $6.55 million and two-bedroom condos exhibiting significantly high price entry points, peaking at $6.9 million in October.
Key observations from this analysis include the consistent seasonality across all price ranges, the dominance of detached homes as the preferred property type, and the resilience of the mid-luxury market, which sits at $1 million to $3.99 million and remains the most active segment with stable pricing and consistent demand.
Conversely, the ultra-luxury market faces challenges due to limited activity and significant price variability. Moving forward, market stakeholders should focus on capitalizing on spring activity and addressing supply gaps in the high-end
Average Sold Price
$6.5 M
segment while continuing to monitor the strong performance of mid-luxury properties.
Home flipping (defined as properties owned for less than a year) has drawn attention from policymakers, but new StatsCan data shows it accounted for just 2.8 per cent of homes sold in B.C. from 2019 – 2021. Abbotsford-Mission had the highest flipping rate at 6.5 per cent, with businesses — representing only 2.6 per cent of buyers — responsible for nearly 8 per cent of flips. B.C.’s new home-flipping tax took effect on January 1, 2025.
1959 W 15th Avenue
Engel & Völkers predicts Vancouver residential properties worth over $1 million will see a 2.5% price increase in the first half of 2025.
Market Outlook
The market is balanced, offering opportunities for buyers and sellers who act strategically. Buyers are encouraged to move quickly and make informed decisions, as inventory remains tight and prices are stable. In the luxury market, activity is steady, but demand is concentrated on unique properties offering features like privacy, land or exceptional craftsmanship. Generic high-priced listings without distinctive attributes are less appealing to buyers.
On the rental side, affordability remains a significant challenge. High demand persists due to limited homeownership opportunities, and while some developers are shifting to rental-focused projects, pricing often fails to meet market needs.
Looking ahead to 2025, the market is expected to remain stable, with no significant price drops anticipated. Buyers and sellers are advised to plan carefully and leverage the current balanced conditions before increased competition in the spring. This outlook emphasizes the importance of strategic decision-making and working with knowledgeable professionals to navigate Vancouver’s evolving real estate landscape.
