Toronto’s condo market has entered a new phase: listings are piling up, and units that once sparked bidding wars now linger on the market, sometimes with price cuts. The surge in inventory means buyers have more options and more negotiating power than at any point in recent years. Yet, some condos are still selling quickly, thanks to specific features that remain in high demand.
“We have a lot of inventory right now,” says Roopali Rajpal, a broker with Sutton Group Realty Systems who works across Toronto and the GTA. “But what’s moving and what’s sitting depends on the details.”
Why the Market Has Changed
Toronto’s condo market now has more supply than at any point in the past several years. A wave of assignment listings — pre-construction units being resold before closing — has hit the market as buyers walk away from deals they can no longer afford. At the same time, resale condos are taking longer to sell as buyers recognize they have choices and can be more selective.
Units that once sold in days now sit for weeks. To attract buyers, sellers are offering incentives such as closing-cost credits, extra appliances, or coverage of several months of HOA fees.
Despite the slowdown, demand remains strong for certain types of units. First-time buyers are focusing on affordable condos in areas with good transit access. Investors are targeting assignments nearing completion, hoping to buy in at a price below the original purchase price. And larger units, such as two- and three-bedrooms, remain scarce, keeping competition high for those properties.
Features That Still Drive Fast Sales
Even with increased inventory, condos with the right features are attracting immediate interest:
Condos Under $400,000 – Units priced below $400,000 remain the top choice for first-time buyers, especially in neighborhoods with subway or train access. These condos often receive multiple showings in the first week and typically sell at or near the asking price.
Updated Kitchens – Modern kitchens are a priority for buyers. Units with quartz countertops, new appliances, and fresh cabinetry stand out, even if other parts of the condo are less up-to-date. Cosmetic improvements, especially in the kitchen, are now more important than ever.
Two- and Three-Bedroom Units – There is a shortage of larger condos, as most recent construction has focused on studios and one-bedrooms. Families and buyers needing space for home offices are competing for the limited supply of two- and three-bedroom units, pushing these properties to sell faster and sometimes above asking.
Pet-Friendly Buildings – Buildings that allow pets, particularly larger dogs, attract strong interest. Buyers and renters with pets have few options, so they act quickly when a suitable listing appears.
Features Causing Units to Sit
In contrast, certain features are causing condos to sit on the market much longer, even as sellers become more flexible:
Outdated Bathrooms – Cosmetic issues, such as old tile or dated fixtures, are immediate deal-breakers for many buyers. “Buyers walk away the second they see pink tile,” Rajpal says.
Studios and Small One-Bedrooms – There is an oversupply of small units, and buyers are prioritizing space. Studios and one-bedrooms are now sitting on the market for 30 days or more, even after price reductions.
Units on Busy Streets or Near Highways – Location has become more important as buyers take their time. Condos exposed to noise or heavy traffic are drawing fewer offers, regardless of price.
Buildings with High HOA Fees – Buyers are scrutinizing monthly costs. High HOA fees are a major deterrent unless the building offers standout amenities that justify the expense.
Assignment Market: A Surge of Opportunity
One of the most active segments is the assignment market — pre-construction condos being resold before final closing. Many buyers who purchased years ago are now facing a financial gap: the appraised value at completion is lower than the original purchase price, requiring them to pay the difference in cash on top of their deposit.
Unable or unwilling to cover the shortfall, some buyers are forfeiting deposits or selling their assignments at a loss. For buyers with available funds or strong financing, this presents an opportunity to acquire a new unit at a price below its original price.
“We’re seeing a lot of opportunities in that space,” Rajpal says, pointing to higher supply and motivated sellers.
Advice for Today’s Buyers
Buyers in Toronto’s current condo market can benefit by focusing on several key strategies:
Move Quickly on Units Under $400,000 – Affordable, transit-accessible condos are still competitive. If you find a unit that fits your needs, be prepared to act fast.
Negotiate on Stale Listings – Condos listed for over 30 days often offer room for negotiation. Ask for closing cost credits, included appliances, or a price reduction.
Prioritize Layout and Location – It’s easier to update a kitchen or bathroom than to change a floor plan or address. Focus on units with layouts and locations that meet your long-term needs.
Guidance for Sellers
Sellers must adapt to the new reality by pricing realistically from the start. Overpricing leads to longer days on market and reduced interest. If your unit hasn’t had recent updates, consider offering incentives such as kitchen upgrade credits or a few months of HOA fee coverage to make your listing stand out.
Highlight pet-friendly policies if your building allows pets, as this can be a decisive factor for many buyers.
Looking Ahead
Toronto’s condo market has shifted from a seller’s market to one that favors buyers, but it’s not a blanket opportunity for deep discounts. Inventory is higher, competition is lower, and negotiation is expected — but only for units that are properly priced and presented well. Many buyers are waiting for the market to hit bottom, but as Rajpal notes, “You’ll never know it’s the bottom until it’s already turned.”
For both buyers and sellers, understanding which features attract serious interest — and which lead to longer wait times — will be key to navigating Toronto’s evolving condo landscape.
This article is based on information provided by the expert source cited above. It is intended for general informational purposes only and does not constitute legal, financial, or real estate advice. Readers should conduct their own research and consult qualified professionals before making any real estate or financial decisions.
