QUICK HITS: 

 

• Toronto condos represent over 65% of property transfers in 2024
• Single-party investors account for 20% of multi-property purchases
• Median age of Ontario’s first-time homebuyers: 40
• Average holding period for Toronto non-condo properties: nearly 18 years
• 25% of homes bought in 2022 under $1M sold at a loss by 2024

The last five years have taken Ontario’s housing market on a turbulent ride, marked by sharp rises and steep downturns. New insights from Teranet’s latest Market Insight Report, drawing from 2024 Ontario land registry data, provide a clearer view of how pandemic-fuelled market activity culminated across the province. 

The report explores trends such as a boom in new condo completions, mounting pressure on buyers who purchased homes during the peak and the emergence of single-party multi-property investors as major market players.

Condos accounted for more than 65% of sales in Toronto in 2024

In Toronto, condos made up the majority of property transfers, accounting for more than 65 per cent of all sales in 2024. But there’s more happening beneath the surface.

The city’s resale condo market was sluggish, marking its lowest activity in a decade. Yet, this downturn contrasts directly with a boom in newly completed condos. About 15,000 new condo units became ready for occupancy in 2024, a 78 per cent jump over the previous year.

“This flood of about 15,000 new condo properties that became available in 2024 was an important piece of data to fully understand the condo market,” the report states, suggesting the abundance of new units could partly explain the quiet resale market.

Multi-property owners remain the largest buyer segment in Ontario

Multi-property owners (MPOs) continue to dominate Ontario’s housing market, but their buying habits are changing. As of the end of 2024, according to Tereanet, the majority of MPOs, 55 per cent, own just two properties, and another 20 per cent have three. This means most MPOs aren’t aggressively building large portfolios—instead, they’re likely investing passively or holding second properties for personal use. 

There’s also been a noticeable pullback among big investors: those holding 11 or more properties dropped significantly from 13 per cent in April 2022 to about 7 per cent by the end of 2024. Interestingly, new MPOs—buyers who have just acquired their second property—make up 70 per cent of MPO transactions over the past decade. 

Toronto remains especially popular, with existing MPO transactions jumping 38 per cent and new MPO purchases rising 22 per cent in 2024, even as regions like York, Wentworth and Waterloo saw noticeable declines.

Number of properties held by multi-property owners as of December 31, 2024 (Teranet)

Single-party investors step into the spotlight

Another shift in Ontario’s investor landscape is the rise of single-party MPOs. These individual investors now represent 20 per cent of all MPO transactions. What’s particularly notable, Teranet says, is their ability to purchase properties without needing mortgages; almost one-third of these buyers paid entirely in cash.

The majority of these buyers, about 39 per cent, are Millennials, followed by Gen-Xers who account for 36 per cent. They’re primarily investing in Toronto, York and Peel regions, with no apparent preference for property type, buying an equal proportion of condo and non-condo properties. 

Regions feeling the pressure

Power of sale activity—often a sign of growing financial stress among homeowners—has been on the rise since 2022, though volumes remain below peaks seen in 2015 and 2016. In 2024, certain regions stood out as more vulnerable than others. Toronto accounted for 13 per cent of all power of sale transfers, followed by Peel at 9 per cent and Simcoe at 6 per cent. But when compared to their overall share of property transactions, some areas appear disproportionately affected. Peel, for instance, made up just 7 per cent of all transfers but 9 per cent of power of sales. Middlesex showed a similar pattern, with only 3 per cent of total transfer volume yet 6 per cent of power of sales. Meanwhile, regions like Halton and Waterloo saw relatively fewer distress sales.

Ontario power of sale transfer volume, percentage of volume by region, 2024 (Teranet)

Pandemic-era homebuyers see losses 

Many Ontario homeowners who bought during the market peak in 2022 and in 2023, and subsequently sold, lost money on their properties. Approximately 25 per cent of homes purchased under $1-million in 2022 and resold in 2024 incurred losses. 

Percentage of properties sold at a loss, by purchase and sold year, by sold value range (Teranet)

Across Ontario, the median loss for these homeowners is around $45,000, but in the GTA, the loss was higher at $56,000. In cottage-country regions like Muskoka, the median loss spikes dramatically to $240,000; however, the volume of transactions was relatively low. 

First-time buyers face tougher road

First-time homebuyers in Ontario are getting older, with the median age climbing to 40. A decade ago, the average first-time buyer spent about $500,000 for a non-condo home in Toronto. By 2024, that figure surged to $1.3-million, making condos a more attainable entry point for many newcomers to real estate. 

Homeowners staying put

Another critical shift is homeowners holding onto properties longer, particularly in Toronto. Non-condo homeowners now keep their properties for nearly 18 years on average, compared to roughly 14 years in 2015. 

“This data seems to correlate with the idea that due to the lack of affordability in Toronto, many choose to renovate their existing property as opposed to moving to a new one within the same area to meet their evolving housing needs,” the report notes. 

What’s ahead for Ontario’s market?

Teranet’s latest report highlights a growing divide in Ontario’s housing market between those who can comfortably invest and those who are increasingly priced out. Key patterns include the rise of the cash-rich investor and mounting financial stress among homeowners who bought during the market’s peak. First-time buyers continue to face significant hurdles, especially with non-condo properties in Toronto, pushing the average purchasing age to 40—a clear indication that affordability challenges continue to deepen across the province.

Read the latest edition of Teranet’s Market Insight Report here. 

Jordana Springgay

Jordana is the editor of Real Estate Magazine. You can reach her by email.