2025 Year End Vaughan Thornhill Real Estate Sales Reports

Including Patterson, Beverley Glen Whilshire, Brownridge, Uplands, Rural Vaughan and other areas of Vaughan
Year end 2025

Happy New Year! It is now the beginning of 2025, a time to reflect on the year that has passed and a time to plan for the New Year.  With respect to real estate and especially real estate in Vaughan and The Valleys of Thornhill, Patterson what does this year have in store for you?  Is this the year that you should buy a new house, upgrade your current home, sell your home, maybe downsize or perhaps invest in real estate? What does the market look like now and for this year? I will try to answer these questions and more.  

First let’s look at what happened last year in real estate and how the year ended.  We can definitely say this past few year had a theme of consumer uncertainty. The new year started off as the year ended with higher interest rates in the 5% range. The Bank of Canada continued increasing interest rates starting in 2023/24 in order to lower the infation rate to a target of 2% from around 3% when they started increasing rates. It was not until around the middle of 2024 that the interest rates started to lower. They were over the 4% range until Jan of 2025. Then the rates only dropped 3 times in all of 2025.  

Once the Bank of Canada's interest rates started to come down, it was expected that the housing market would take off, but that didn't happen as expected. Instead we were faced with a threat of tariffs, which resulted in job losses and still a high cost of everyday living. The concumeer confidence was still not there, still more uncertainty and still many people waiting on the side lines and not knowing what to do, so in turn they did not do! People waited to list and were afraid to buy. Sellers didn't want to take a loss and buyers hoped interest rates and prices  would continue to go down. The inventory of houses increased. The prices in many areas dropped. Consumer confidence was still not there, only those that really needed to move did. The only real change we saw was more inventory of properties, especially condos.

First let’s look at how the year ended.  The Average sale price in Vaughan went down from $1,292,858 to $1228,569, a drop of 5% and the median price decreased by approximately $65,000 from $1,230,000 to $1,165,000.  The number of new listing over the year  from increased from 8,092 to 9230.  The number of sales decrease from 3,258 to 2,903 this year.  It took 5 day longer on average to sell a house in Vaughan than last year, taking 26 days in 2024 and 31 days this year. The houses that sold did so at 98% of asking price down from 99% of asking last year. 

What does this mean?  Simply that Vaughan housing market went through a change or I like to think of it as a pause.  Prices dropped by 5%.  The median price also dropped by 5%. Sales decreased by 11%. It was uncertain times and changes and people paused to see what was going to happen. New listings also increased significantly by 14%. The sales to listing ratio dropped by 1% and houses stayed on the market 19% longer or they took 31 days to sell instead of 26 days last year. Interest rates came down to approximately 2.25% which is back to an afordable rate. However all thing considered the market did not crash as people were afraid and prices did not drop by that much, only 5% and on the positive side for those that qualify, rates are again more afordable and there is much more inventory than there was, more choice and no major pressure to decide on the spot or get into bidding wars. 

When there are 4 houses available for sale for every house sold it is considered to be a sellers market. When there is 4-6 houses available for every sale it is considered to be a balance market. When there is over 6 houses available for every sale it is said to be a buyers market. This year's market in Vaughan definately would have been a sellers market with over 3 houses available for every house sold, however even though there was very little inventory, with all the uncertainty it remained a buyers/ balanced market.  With less sales the prices lowered it opened the doors to opportunities for those that could still qualify for a mortgage with the new rates, there's more choice than before and no rush to make quick decisions, especially with the condo market as there are a larger amount of condos available for sale.  It is also a good time for move up buyers as the gap between housing prices has narrowed. 

We do need to remember that for price, every area was different, some areas had a larger price correction downward than others, and in some area's prices did not undergo a price drop at all. Some areas were still seeing homes selling above asking price and some were still selling in multiple offers. So basically all areas need to be looked at individually. This year could have been a real buying opportunity in some areas, especially the areas that had a price drop like the condo market. 

 Borders are open again immigration will continue again causing more of a need for housing. Interest rates should continue to drop or a least remain as they are which is back to what the average interest rate has been for the last 10 years. As for prices, they will continue to increase over time as they alway have.  The heads in our company are prediction that by 2030 the average house price in the GTA will be over $2,000,000.

Here are a few facts that we see and know:

• Prices in some areas have returned to around the 2021 levels, opening up opportunities to many.
• Interest rates have returned to a more afordable level.
• Emigration will continues at high levels. 
• We are not making more land, therefor it's hard to keep up with the demand.
• Rental rates are similar to cost of ownership and in some cases more.
• The boomers' kids have grown up (kids born from 1977 to 1994 which number around 9.2 million in Canada in 2011) they are ready to buy real estate.
• Real Estate over the long term is a sound investment that continues to increase over time.
• Real Estate has been paying a higher return than investing you money in the bank.

Toronto offers an ideal location close to everything and very central, however, Vaughan offer area's like Whilshire, Westmount, Beverley Glen and Uplands that have larger lots and Patterson offers newer built area in Vaughan. Now that people have discovered working remotely or hybrid some don't need to be in the city's core and live in small quarters, they can now spread out and live in larger homes. Now is the ideal time to invest and buy in Vaughan it offers starter homes (townhouses, semis, smaller detached and larger condos many with parking) which are in demand for first time buyers that could not afford a house when rates were high.  The return on your money invested in a bank is extremely low, so why not invest in housing with some areas having prices lowered, it is a sound investment! Its always better to buy in a downward market because you cannot time the bottom until prices start to increase again. If you are thinking of upgraded the gap between housing prices has decreased.  We work the area and often know of homes coming out for sale before they are listed on the market.

Buyer's market or seller's market, NOW CAN BE THE PERFECT TIME FOR MANY TO BUY OR SELL, CALL US AND LET'S TALK!!

For help with any of your Real Estate inquires or needs, Or to discuss your area's housing prices feel free to call Carey and Sharon Rosenzweig (416) 818-2600.