May 2026 Newsletter

Thurston Olsen Real Estate Group

Hey Friends!

Spring has officially arrived in Toronto, and with the nicer weather, you can feel the market starting to come back to life. More buyers are stepping out, listings are picking up, and that familiar spring energy is building again across the city.

What’s interesting right now is how different pockets of the market are creating opportunities in different ways. Some neighbourhoods and property types are seeing competition ramp back up, while others are still giving buyers a bit more room to breathe. It’s not one-size-fits-all, and that’s actually where the opportunity lies.

Think of it like patio season – Some spots are already buzzing, others you can still walk right into and grab a great table. The key is knowing where to look.

With momentum building and conditions starting to tighten, this is the kind of market where a smart plan can really pay off, whether you’re buying, selling, or just keeping a close eye on things.

Here’s your May 2026 Market Update. Let’s dive in.

There’s a massive wave of wealth moving through Canada right now, and it’s starting to leave a real mark on the housing market. Experts estimate that over $1 trillion will be passed down from baby boomers to younger generations between 2023 and 2026, with a significant portion coming from real estate gains.

Here in Toronto, we’re seeing this play out in real time. More buyers (especially first-timers) are getting a financial boost from family, whether it’s help with a down payment or early inheritance. In fact, nearly 1 in 3 first-time buyers recently received support, with average gifts now north of $100K. That kind of backing can be the difference between sitting on the sidelines and actually getting into the market.

From a market perspective, it’s quietly adding fuel to demand. Buyers with support can act faster, compete more aggressively, and stretch a little further on price, particularly in entry-level and family-friendly segments. At the same time, it’s creating a wider gap between those who have access to that help and those navigating things on their own. And that’s where it gets interesting. This isn’t just a financial trend – it’s starting to shape who’s able to participate in the market, how competition plays out, and even what “affordability” looks like from one buyer to the next.

It raises a bigger question: how much is family support influencing today’s market, and where does that leave buyers going it alone?

We’re always curious what you’re seeing out there. Are more buyers in your circle getting a boost from family, or are you noticing the pressure from the other side of the table? Are you considering giving your children an early inheritance so that they can get into the market?

We’d love to hear from you!

April brought a subtle but important shift in the GTA housing market. Sales were up 8.6% year-over-year, with 2,312 homes trading hands, while new listings dropped by 13.6%, pointing to a market that’s beginning to tighten as we move through the spring season.

Even with improving activity, buyers are still benefiting from relatively softer pricing, with the average home price sitting at $1,091,761, down 4.6% from last year.

With that said, prices have started to stabilize on a month-over-month basis, suggesting the window of opportunity may not stay open for much longer.

Lower borrowing costs and improved affordability have brought more buyers back into the market, but there’s still a significant amount of pent-up demand waiting on the sidelines. If listings remain constrained and confidence continues to build, we could see competition increase in the coming months, particularly for well-priced homes in desirable neighbourhoods.

Check out the April year-over-year stats below for more information on the current market.

If you would like statistics specific to your neighbourhood, an updated Comparative Market Analysis for your home, or help deciphering what the numbers could mean for you, please let us know and we would be happy to provide that for you.