Scott Hanton, Expert for Buying and Selling

The Toronto housing market experienced a period of adjustment throughout 2025, and the townhouse sector—both freehold townhomes and condominium townhouses—reflected many of the broader market trends. While townhouses remained an attractive middle ground between detached houses and condominium apartments, their prices softened modestly during the year as buyers became more cautious and inventory increased. An examination of market data from 2025 shows that townhouse values in Toronto fluctuated but largely settled slightly below their 2024 levels, reflecting a transitional year for the city’s real estate market.

One of the most important distinctions within the townhouse category is between freehold townhomes and condominium townhouses. Freehold townhouses typically include ownership of the land and building with no monthly maintenance fees, making them more comparable to detached or semi-detached homes. Condo townhouses, on the other hand, are governed by condominium corporations and usually involve monthly maintenance fees that cover exterior maintenance, landscaping, and shared amenities. Because of these structural differences, freehold townhomes generally command higher prices than condo townhouses.

At the beginning of 2025, the townhouse market entered the year following a period of declining prices that began in late 2024. Economic uncertainty, high borrowing costs, and cautious buyer sentiment contributed to softer demand across most property types. In the first quarter of 2025, the median price for condo townhouses in the Greater Toronto Area was approximately $750,000, representing a slight decrease of about 2.1% compared with the same period in 2024.  This modest decline illustrated the broader cooling that was occurring across the housing market.

Freehold townhouses, however, remained significantly more expensive due to their land ownership and larger living spaces. Early market reports suggested that many freehold townhomes in the Toronto area were still approaching or exceeding the $900,000 range, reflecting their strong demand among families seeking more space than a condominium but at a lower price than detached homes. In April 2025, the average price for townhouses in Toronto’s 416 area was approximately $912,629, further illustrating the premium placed on these properties within the city. 

As the year progressed, the townhouse market continued to reflect broader economic conditions. Mortgage rates remained relatively high during the early part of 2025, and many buyers delayed purchasing decisions while waiting for clearer signals about interest rate policy. This cautious environment contributed to slower sales activity and slightly declining prices. Reports from mid-2025 indicated that the average selling price for townhouses across the Greater Toronto Area was about $871,652 in June 2025, highlighting a moderate softening compared with previous years. 

Despite these price adjustments, townhouses continued to attract strong interest from several types of buyers. First-time buyers and young families were particularly drawn to condo townhouses because they offered more space and privacy than condominium apartments while remaining relatively affordable. Condo townhouses also tended to be located in suburban or mixed-use neighbourhoods with access to parks, schools, and public transit. Meanwhile, freehold townhomes appealed to move-up buyers who wanted the benefits of ground-level living without the higher costs associated with detached houses.

Another notable trend in 2025 was the difference in pricing between the City of Toronto and surrounding suburban regions. Within Toronto itself, townhouse prices remained relatively high due to limited land supply and strong long-term demand. In March 2025, data showed that the average townhouse price in the City of Toronto was approximately $825,222, while detached homes averaged over $1.7 million.  This comparison demonstrates how townhouses functioned as a middle tier in the housing market, providing more attainable ownership opportunities within the city.

By the fall of 2025, condo townhouses experienced somewhat sharper declines than freehold townhomes. In October 2025, the average price for condo townhouses in Toronto was about $890,678, representing a year-over-year price decrease of roughly 7.1%.  The decline reflected a broader trend affecting the condominium sector, which faced increased inventory levels and weaker investor demand compared with previous years.

Freehold townhomes also saw slight price declines but remained comparatively resilient. These properties benefited from strong long-term demand because they combine many of the advantages of detached houses—such as private entrances, multiple floors, and outdoor space—with somewhat lower purchase prices. By the end of 2025, the average price for freehold townhouses in the region was approximately $972,915, indicating a modest year-over-year decrease but still positioning the property type close to the $1 million mark. 

Several broader economic factors influenced townhouse prices throughout the year. One major factor was the overall slowdown in Canada’s housing market caused by economic uncertainty and declining buyer confidence. Housing analysts noted that national home prices were expected to fall slightly during 2025 as trade tensions and economic concerns affected consumer sentiment.  In Toronto specifically, housing prices across most property categories declined modestly during the year, reflecting the shift toward a more balanced market.

Increased housing supply also played a role in moderating townhouse prices. Throughout 2025, new listings rose faster than sales in many parts of the Greater Toronto Area. With more options available, buyers gained greater negotiating power than they had during the intense seller’s market conditions of the early 2020s. This shift resulted in longer days on market and more conditional offers.

Despite these short-term challenges, townhouses remained a critical segment of Toronto’s housing market. They provided a practical solution for buyers seeking more space than condominium apartments without the financial burden of detached homes. For many households, especially families and move-up buyers, townhouses represented the most realistic path to homeownership within the city.

In summary, the Toronto townhouse market in 2025 was characterized by moderate price declines, cautious buyer sentiment, and increased inventory. Freehold townhomes generally maintained prices close to the $1 million range, while condo townhouses averaged between roughly $750,000 and $900,000 depending on the location and time of year. Although prices softened slightly compared with 2024, townhouses remained an important and highly sought-after housing option in Toronto’s complex real estate market.

In Toronto’s diverse real estate market, the term “townhouse” or “townhome” is used frequently, yet it can refer to several different types of properties. While many people imagine a simple row of identical houses connected side by side, the reality is far more complex. Toronto contains a wide range of housing forms that fall under the townhouse category, ranging from historic Victorian row houses to modern stacked condominium units. These various forms reflect the city’s long history of urban development, changing architectural trends, and evolving housing needs.

At the most traditional level, a townhouse in Toronto refers to a freehold row house. These properties share side walls with neighbouring homes but are individually owned, including the land beneath them. Freehold townhouses are often found in older neighbourhoods built in the late nineteenth and early twentieth centuries. Areas such as Trinity-Bellwoods, Cabbagetown, and the Annex feature long rows of Victorian or Edwardian townhouses constructed during Toronto’s early urban expansion. These homes typically have two or three storeys, narrow frontages, and small backyards. Because they were built before the automobile era, many lack private parking and instead rely on street parking or rear laneway access. Despite these limitations, historic freehold townhouses remain highly desirable due to their architectural charm and central locations.

Another common form is the modern freehold townhouse, which has become increasingly popular since the 1990s. These homes are usually part of small residential developments built on subdivided land or former industrial sites. Unlike older row houses, modern freehold townhomes are designed with contemporary lifestyles in mind. They often include built-in garages, open-concept interiors, and rooftop terraces. Many are three or four storeys tall to maximize living space on relatively narrow lots. Although they share walls with adjacent units, owners have full responsibility for maintenance because there is no condominium corporation managing the property. These townhouses appeal to buyers who want the feel of a house while avoiding condominium fees.

Closely related to freehold townhomes are freehold townhouses with shared elements, sometimes referred to as “freehold with common elements.” In these developments, homeowners own their individual properties outright but contribute to a shared maintenance fund for features such as private roads, landscaping, or snow removal. While technically freehold, these communities function somewhat like condominiums because residents collectively manage certain shared areas. This hybrid model is relatively common in newer suburban-style townhouse complexes built within the city limits.

A large portion of Toronto’s townhouse supply consists of condominium townhouses, which differ significantly from freehold properties. In this arrangement, each unit is part of a condominium corporation that owns the land and common elements. Residents pay monthly maintenance fees that typically cover building insurance, exterior repairs, landscaping, and sometimes utilities. Condo townhouses are often arranged in rows similar to freehold homes, but the shared ownership structure means individual owners are responsible only for the interior of their units. This model is attractive to buyers who prefer less responsibility for exterior maintenance.

Within the condo townhouse category, there are several architectural variations. One common form is the traditional condo townhouse, which resembles a small house with its own front entrance, multiple floors, and sometimes a small patio or garden. These units are frequently found in low-rise residential complexes built from the 1970s onward. They often include communal green spaces, visitor parking, and recreational amenities maintained by the condominium corporation.

Another increasingly common style is the stacked townhouse. Unlike traditional townhouses that extend vertically through several floors, stacked townhouses are arranged in layers within a low-rise building. A typical stacked townhouse development might have two units on the ground level and two units above them. Each unit has its own entrance, but they share structural elements and sometimes interior corridors. Lower units may feature basement levels and small patios, while upper units often include rooftop terraces. Stacked townhouses have become popular in Toronto because they allow developers to achieve higher density while still offering ground-oriented housing.

A variation of this design is the back-to-back townhouse. In this layout, two townhouse units share a rear wall, meaning neither has windows at the back of the property. Instead, each unit faces a different direction toward separate streets or courtyards. Back-to-back townhouses maximize the number of units that can be built on a limited parcel of land, making them a common feature in new developments near transit lines and urban growth areas. However, the absence of rear windows can affect natural light and ventilation, which is sometimes a consideration for buyers.

Toronto also contains a number of laneway townhouses, particularly in neighbourhoods with historic laneway systems. These homes are often small, modern structures built behind existing houses and accessed through narrow rear lanes. Although many laneway homes are technically detached dwellings, some are constructed as townhouse-style units with shared walls. They represent a relatively new form of housing encouraged by city policies aimed at increasing density in established neighbourhoods.

Another distinctive form of townhouse in Toronto is the live-work townhouse. These properties combine residential and commercial space, typically with a street-level unit designed for a small business or office and living quarters above. Live-work townhouses are common in mixed-use developments and revitalized urban areas where zoning allows both residential and commercial activity. They appeal to entrepreneurs, artists, and professionals who want to integrate their workplace with their home.

Finally, there are luxury townhomes, which represent the high-end segment of the townhouse market. These properties may be either freehold or condominium units, but they typically feature larger floor plans, premium materials, and upscale amenities. Luxury townhomes are often located in prestigious neighbourhoods or exclusive developments and may include features such as private elevators, underground parking, and rooftop terraces with city views.

In conclusion, the concept of a townhouse in Toronto encompasses a wide variety of property types. From historic Victorian row houses to modern stacked condominium units, townhomes reflect the city’s architectural diversity and changing housing needs. Whether freehold or condominium, traditional or contemporary, these properties offer a flexible housing option that bridges the gap between detached houses and apartment living. As Toronto continues to grow and densify, townhouses in their many forms will likely remain an important component of the city’s residential landscape.

Buying our first home in Toronto felt exciting at first—until we started looking seriously.

Like a lot of young couples, we had spent years renting small downtown apartments while saving as much as we could. We talked about buying “someday,” but someday always felt far away. Then one evening, after another conversation about rising rents, we looked at each other and said, “Maybe it’s time.”

That decision launched us into the complicated world of Toronto real estate.

At first we did what most first-time buyers do: we searched listings online every night. We quickly realized that detached homes were completely out of reach. Even many semi-detached houses felt impossible for our budget. But one type of property kept appearing in our searches that seemed like the perfect middle ground—a condo townhouse.

We loved the idea immediately. Condo townhouses seemed to offer the best of both worlds. They had their own front doors, multiple levels, sometimes even small patios or rooftop terraces, but they were still more affordable than houses. For us, it felt like a way to have space without completely stretching our finances.

Still, the process felt overwhelming.

There were so many listings, so many neighbourhoods, and so many details we didn’t understand. Maintenance fees, reserve funds, status certificates, bidding strategies—it all felt like a foreign language. We quickly realized that buying our first home in Toronto wasn’t something we wanted to navigate alone.

A friend recommended we speak with Scott Hanton.

From the moment we first met Scott, we felt a huge sense of relief. He didn’t treat us like inexperienced buyers who needed to be rushed into a purchase. Instead, he took the time to explain the entire process from the beginning.

He asked thoughtful questions about how we wanted to live. Did we want a quieter neighbourhood or something closer to downtown? Were we planning to work from home? Did we want outdoor space? Did we see this property as a starter home or somewhere we could stay long term?

That last question stuck with us.

We realized that what we really wanted was a place we could grow into—somewhere that could truly feel like home for many years.

Scott helped us understand the condo townhouse market across Toronto. He explained how some complexes were older but had strong management and large units, while others were newer but had smaller layouts. He also walked us through how to evaluate maintenance fees, building finances, and the long-term value of a property.

What impressed us most was how patient he was.

Over the next few weeks, Scott showed us a variety of properties across the city. Some were beautiful but felt too cramped. Others had awkward layouts or were in areas that didn’t quite fit our lifestyle.

Every time we left a showing, Scott would ask us what we liked and what we didn’t like. Gradually, we started to refine our vision of what our ideal home would be.

We wanted something bright, with lots of natural light. We wanted enough space for both of us to work from home when needed. And we really hoped for some kind of outdoor space—even if it was just a small terrace.

Then one Saturday afternoon, Scott suggested we see a condo townhouse that had just come on the market.

The moment we walked in, we both felt it.

It was a beautiful three-level unit with big windows that filled the living space with light. The main floor had an open-concept living and dining area that felt perfect for hosting friends and family. The kitchen had been recently renovated with modern finishes and plenty of storage.

Upstairs were two spacious bedrooms and a small den that would work perfectly as a home office. And the best part? A private rooftop terrace overlooking the neighbourhood.

We stepped outside onto the terrace and just looked at each other and smiled.

We could imagine our future there—morning coffee outside, summer dinners with friends, quiet evenings watching the sunset.

Of course, the nerves kicked in right away. As first-time buyers, making an offer felt like a huge step.

But Scott guided us through every part of the process.

He helped us understand the market value of the property, reviewed comparable sales, and explained exactly how to structure a competitive offer without taking unnecessary risks. When it came time to negotiate, Scott handled everything with calm confidence and professionalism.

Knowing he was looking out for our interests made the entire experience far less stressful.

When our offer was accepted, we were honestly a little stunned. It felt like everything had happened so quickly, yet the journey to get there had been thoughtful and well guided.

The day we received the keys to our condo townhouse was unforgettable.

Standing inside our new home for the first time, it finally felt real. This wasn’t just another apartment we were renting—it was our place. Our future.

Looking back now, we’re so grateful we chose to work with Scott Hanton.

As first-time buyers, we had so many questions and so many uncertainties. Scott’s knowledge of the Toronto market, his patience, and his ability to guide us through every step made an enormous difference.

He didn’t just help us buy a property.

He helped us find a home that truly feels like our forever place.

And whenever friends tell us they’re thinking about buying their first home in Toronto, we always say the same thing:

“Talk to Scott. You’ll be so glad you did.”