Toronto Real Estate in 2025: What 17,000 Terminations Mean for Buyers and Sellers

The Toronto real estate market is experiencing an unprecedented shift. In June 2025 alone, over 17,000 listings were terminated—more than double the historical average. What does this mean for buyers, sellers, and the future of real estate in Canada’s largest city? In a recent video conversation, Gary McGowan and mortgage expert Dion Beg dissected these trends and what they signal for first-time homebuyers and the industry as a whole.

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A Surging Trend: Listing Terminations on the Rise

According to data from the Toronto Real Estate Board, listing terminations have skyrocketed to historic levels. While a typical May sees around 7,000 terminations, May 2025 exceeded 16,000 and June is trending over 17,000.

Why the spike?

• Misalignment between buyer and seller expectations

• Outdated pricing strategies

• Changing market conditions that affect perceived home values

Sellers may still be anchored to pre-correction prices, but buyers are acting based on current valuations. This disconnect leads to more listings being pulled off the market without a sale.

The Impacts on Mortgage Financing

Dion Beg explains how this shift is affecting mortgage appraisals and refinancing. Many homeowners looking to consolidate debt or refinance are shocked when appraisals come in lower than expected. This is especially critical when homeowners are relying on equity to manage high-interest consumer debt.

First-Time Buyers: A Window of Opportunity?

While the headlines may seem grim, first-time buyers could benefit from this market climate. With more inventory and sellers adjusting expectations, there are increasing opportunities for buyers to negotiate favorable terms.

Dion emphasizes the importance of:

• Getting pre-approved early

• Exploring support options like gifted down payments or co-signers

• Understanding how appraisals and market trends affect buying power

Family Support: Gifted Down Payments & Co-Signing

Helping children enter the housing market is becoming more common. Dion Beg outlines how parents can contribute:

• Gifted down payments (must be documented and not considered a loan)

• Co-signing to increase mortgage qualification

• Reverse mortgages or refinancing to provide access to funds

In some cases, parents do both—helping boost the down payment while also co-signing to qualify for a larger loan, often avoiding costly mortgage insurance premiums.

The Rise of Multi-Generational Living

Multi-generational housing is gaining traction across Canada. As affordability challenges mount, families are pooling resources to purchase larger homes, often with separate suites or dual-living setups. Builders are beginning to respond with designs that support this lifestyle shift.

Buying Investment Property as a First Step

For young adults unable to buy where they want to live, parents are teaming up with them to purchase rental properties in more affordable regions. This creates equity-building opportunities while maintaining lifestyle flexibility.

Wrap Up

The Toronto housing market is in transition—but with change comes opportunity. Whether you’re a buyer, a concerned parent, or an investor, understanding the current dynamics can help you make smarter decisions. For personalized advice, contact Dion Beg at kangamortgage.ca or follow him on Instagram @thedionbeg.