Buying your first home is a major milestone, and staying informed can make all the difference in your success. The June 2025 real estate stats are here to help, and if you’re a first-time home buyer in the Greater Toronto Area, this is a moment worth watching closely.
Here’s what happened in the market last month—and what it means for you.
1. More Listings = More Choice and Leverage
May saw over 21,000 new listings hit the market, a 21.1% increase compared to last year. Active listings are outpacing sales, and the Sales-to-New-Listings Ratio dropped below 30%—a clear sign the market is tilted in favour of buyers.
What this means for you: You’ve got more options, more time, and stronger negotiation power. Unlike previous years, bidding wars aren’t the norm, and sellers are adjusting expectations. If you’ve been waiting on the sidelines, now might be the time to step forward.
2. Prices Are Stabilizing, Not Falling
The average price in May was $1,165,691, a 2.5% drop from May 2024, but up from April. The MLS® Home Price Index Composite Benchmark also slipped by 3.5% year-over-year.
Why this matters: Month-over-month growth suggests the market could be hitting a price floor. For first-time buyers, this may signal a rare window of opportunity—before competition picks up and prices adjust again.
3. Interest Rates Steady—for Now
The Bank of Canada held its rate at 5.0%, but all eyes are on a potential rate cut later this summer. That could make mortgages more affordable and increase demand.
Tip: If you’re financially ready, securing pre-approval and acting soon could let you take advantage of today’s leverage before rates—and buyer competition—shift.
4. Cautious Optimism for New Buyers
Despite a 21.7% year-over-year drop in sales, there’s been a steady rise from April’s 5,601 sales to May’s 6,213. Buyers are cautious but engaged, and sellers are beginning to meet them where they are. This balance is rare—and favourable for educated first-time buyers.
âś” What To Do Next
If you’re considering buying your first home this year, here’s your plan of action:
- âś… Get a mortgage pre-approval to know your budget and strengthen your offers.
- ✅ Explore the First-Time Home Buyer Incentive, RRSP Home Buyers’ Plan, and other rebates.
- âś… Build your support team: a trusted realtor, mortgage broker, and real estate lawyer.
- ✅ Focus on resale homes and listings that have been sitting for 21+ days—they may offer room to negotiate.
Let’s Make Your First Purchase a Smart One
At the Open Door Collective, our mission is to make sure first-time home buyers feel informed, confident, and fully supported. With a market full of opportunities and change on the horizon, there’s never been a better time to take the next step.
Let’s work together to open the door to your first home—with clarity, confidence, and a team that has your back.