As mentioned in previous posts, I spend a lot of time reading articles and commentary on the Toronto real estate market. I find it’s the best way to stay informed and far more balanced than the shock-and-awe narratives often found on YouTube.
One article in particular stood out this week. Economist Benjamin Tal described 2026 as a bridge year for Canadian housing: A period where uncertainty gives way to clarity, and hesitation slowly turns into action.
Interest rates appear to have found their floor. Buyers waiting for “one more cut” will be waiting a long time. As that reality settles in, we’re likely to see more activity return not in a frenzy, but with intention.
Toronto continues to be a tale of two markets.
Condos are still working through excess supply, particularly investor-focused units. At the same time, we’re beginning to see stability in larger units designed for end users. Ground-oriented homes : semis, townhomes, and detached properties remain resilient, especially among millennials. Supply is tight. Demand is intact. Prices are not collapsing.
The bigger shift, however, is mindset and not just for buyers, but for sellers as well.
Speculation is fading. Certainty matters again. Buyers are favouring existing assets over promises, end users over flippers, and long-term value over short-term noise. Expectations of 2022 pricing in a 2026 market are also beginning to fade.
This isn’t a boom.
But it is a transition toward stability.
And in real estate, clarity is often the most powerful catalyst.
Brandt…..
