Toronto-area home sales down 2% in August as average price dips below $1 million

# What happened

# Prices and measures

TRREB's composite benchmark price, which is intended to represent a typical home rather than the simple average, was down 4.5% year-over-year. Those two metrics together show that both the average transaction amount and the underlying market benchmark moved lower in August.

# Inventory and listings

# What TRREB says buyers may face TRREB president Daniel Steinfeld raised a practical choice for buyers: if inventory tightens and prices begin to rise, prospective purchasers will have to weigh waiting for clearer economic conditions against buying sooner to avoid higher prices. That frames the current market as one where timing and risk tolerance will matter for households deciding whether to act.

# Short-term context and patterns

• Sales volumes in August show modest declines rather than steep drops. Year-over-year and month-over-month changes are both in the low single digits.
• Prices have now fallen enough to bring the average below $1 million twice this year, and the benchmark measure shows a larger percentage decline than the simple average.
• New listings are down more substantially, suggesting supply is tightening relative to last year even as sales are slightly lower.

# Practical implications for buyers and sellers Buyers: Lower average prices may create buying opportunities, but the decline in new listings could reduce options and make competitive bidding more likely if inventory tightens further.

Sellers: With both the average and benchmark prices down, sellers should consider realistic pricing and marketing plans that reflect a market where buyers have more negotiating room than during peak-price periods.

Agents and planners: Watch inventory trends closely. If listings continue to fall while demand stabilizes or rebounds, prices could turn up, compressing any current buyer advantage.

# Bottom line August's data show a modest cooling in transaction activity and continuing price declines compared with last year, with a notable reduction in new listings. That mix — lower sales, falling prices, and tighter listings — creates a narrow set of trade-offs for buyers and sellers focused on timing and market exposure.