Scott Hanton, Real Estate 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.

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.

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.”

The real estate market in Toronto is one of the most competitive and expensive housing markets in Canada. In such an environment, ethical conduct is crucial to maintain trust between buyers, sellers, and real estate professionals. One of the most important ethical principles in property transactions is the duty of disclosure. Disclosure refers to the obligation to reveal important facts about a property that could influence a buyer’s decision. While legal requirements establish minimum standards, ethical considerations often go further by emphasizing honesty, transparency, and fairness in real estate dealings.

In Ontario, disclosure obligations are shaped by common law and professional regulations governing real estate agents. A central concept is the distinction between patent defects and latent defects. Patent defects are visible problems that a buyer could reasonably discover during a normal inspection, such as cracked tiles or peeling paint. Under the principle of “buyer beware,” sellers are not generally required to disclose these visible issues. However, they cannot actively conceal them. In contrast, latent defects are hidden problems that would not be discovered through a typical inspection. If a seller knows about a latent defect that makes the property dangerous or unfit for habitation, the seller has a legal obligation to disclose it to potential buyers. Failure to do so can lead to allegations of misrepresentation and legal liability. 

Beyond the legal framework, ethics in real estate disclosure emphasizes honesty and good faith. Buyers rely heavily on information provided by sellers and agents when making major financial decisions. A lack of transparency undermines the fairness of the transaction and can create serious financial and emotional consequences for buyers who later discover undisclosed issues. Ethical disclosure therefore involves not only following the law but also acting with integrity, even when the law may allow silence.

A commonly used tool in Ontario real estate transactions is the Seller Property Information Statement (SPIS). This document allows sellers to disclose details about the property’s condition, including previous repairs, environmental hazards, renovations, and insurance claims. While completing the SPIS is generally voluntary, it can reduce disputes and demonstrate good faith by providing buyers with detailed information about the property. However, if a seller chooses to complete the statement, it must be filled out truthfully, as inaccurate information may lead to claims of negligent misrepresentation. 

The ethical importance of disclosure can be illustrated through examples involving townhouses in the City of Toronto.

The first example involves a hypothetical townhouse located in Toronto’s west end. Suppose a seller is aware that the townhouse has recurring basement flooding during heavy rain due to a poorly sealed foundation. The seller previously repaired water damage and repainted the basement walls, but the underlying problem remains unresolved. If the seller lists the property without mentioning the flooding issue, the defect may not be obvious during a typical viewing or inspection. A buyer who later discovers extensive water damage could face significant repair costs.

Legally and ethically, the seller should disclose this issue because it qualifies as a latent defect. Hidden water damage, mold, or structural problems that affect safety or usability must be revealed if the seller is aware of them. Failing to disclose such problems may expose the seller to lawsuits after the sale closes. Ethically, disclosure is necessary because the buyer deserves accurate information about the property’s true condition before committing to a purchase. 

A second example involves a townhouse in downtown Toronto that underwent major renovations. Imagine that the seller converted the basement into a rental unit but did so without obtaining proper municipal permits. The renovation may appear visually appealing and pass a casual inspection. However, the lack of permits could create legal problems for the future owner, such as fines or requirements to remove the renovation entirely.

From an ethical standpoint, the seller should disclose that the basement renovation was completed without permits. Structural or legal issues affecting the property—including unpermitted renovations—are material facts that can significantly influence a buyer’s decision. If the seller intentionally withholds this information to attract higher offers, the act may be considered deceptive. Ethical real estate practice requires transparency so that buyers can evaluate potential risks before finalizing the purchase. 

Real estate agents also play a crucial role in ethical disclosure. In Ontario, agents are required to disclose material facts about a property if they are aware of them. If an agent knows that a seller has a legal obligation to disclose a defect, the agent must communicate that information to potential buyers. Agents who fail to do so may violate professional standards and face disciplinary action. This professional responsibility ensures that agents do not become complicit in concealing important property issues. 

In Toronto’s fast-paced housing market, competitive pressures can sometimes tempt sellers or agents to minimize problems or omit details. Multiple-offer situations and limited inspection conditions can increase the risk of unethical behaviour. However, ethical disclosure is essential to maintaining confidence in the real estate system. Transparency reduces disputes, prevents costly litigation, and helps ensure that property transactions are fair for all parties involved.

The ethics of disclosure in Toronto real estate extend beyond legal requirements to emphasize honesty, transparency, and responsibility. Sellers must disclose known latent defects, and real estate agents must communicate material facts to buyers. Through ethical disclosure practices—such as honest communication and accurate documentation—participants in the real estate market can foster trust and reduce conflicts. In a city where property transactions often involve life-changing financial commitments, ethical disclosure is not only a legal duty but also a fundamental principle of fair and responsible real estate practice.

In Toronto’s competitive real estate market, transactions often involve properties that are still occupied by tenants at the time an agreement of purchase and sale is signed. In many cases, buyers purchase a property with the expectation that it will be vacant on closing so they can move in immediately. However, complications arise when a tenant refuses to leave a rented townhouse that was supposed to be delivered vacant. When this occurs, both the buyer and the seller must navigate legal obligations and practical solutions under Ontario’s tenancy laws.

In Ontario, residential tenancies are governed by the Residential Tenancies Act, 2006 and disputes are handled by the Landlord and Tenant Board. These rules apply throughout the province, including the Toronto real estate market. The law strongly protects tenants’ rights, meaning that even if a property is sold, a tenant cannot simply be forced out on closing day unless the proper legal process has been followed. As a result, sellers and buyers must understand their options when a tenant refuses to vacate a townhouse that is under contract.

When a property is sold with the intention that the buyer will move into it, the seller typically serves the tenant with an N12 notice. This notice informs the tenant that the landlord—or a purchaser who intends to occupy the property—requires the unit for personal use. The tenant must usually receive at least 60 days’ notice before the termination date. However, even when the notice is properly delivered, a tenant is not legally required to leave immediately if they dispute the notice. Instead, they may remain in the unit until the matter is heard and decided by the Landlord and Tenant Board.

This situation creates a serious challenge if the closing date of the real estate transaction arrives before the tenant has moved out. In a typical Toronto townhouse sale, the agreement of purchase and sale often includes a clause requiring the property to be delivered “vacant on closing.” If the tenant refuses to leave and the seller cannot provide vacant possession, the seller may be in breach of the contract.

One option for sellers is to negotiate with the tenant to leave voluntarily. In the Toronto market, this often takes the form of a “cash for keys” agreement. In this arrangement, the landlord offers the tenant a financial incentive to vacate the property by a certain date and sign an agreement terminating the tenancy. Although this approach can be costly—sometimes requiring several months’ rent or more—it is often the fastest and most practical solution. Compared to the time and uncertainty of a tribunal hearing, paying the tenant to leave can help ensure that the closing proceeds smoothly.

Another option is for the seller to apply to the Landlord and Tenant Board for an eviction order. If the tenant does not comply with the N12 notice, the landlord can request a hearing to obtain legal permission to evict the tenant. However, the process can take several months depending on the Board’s backlog. In Toronto, where the housing market moves quickly, these delays can easily extend beyond the closing date of the property sale. Because of this risk, sellers who are planning to sell a tenanted townhouse are often advised to begin the eviction process early.

Buyers also have several options when a tenant refuses to vacate before closing. The first option is to negotiate with the seller to delay the closing date. If both parties agree, the transaction can be postponed until the tenant leaves the property. This solution may be practical if the tenant has already agreed to move but requires a short extension. However, it may be problematic if the buyer has already sold their own home or arranged financing that depends on the original closing date.

Another possibility is for the buyer to complete the purchase while allowing the tenant to remain in the property temporarily. In this situation, the buyer becomes the new landlord and assumes responsibility for the tenancy. The buyer would then continue the eviction process through the Landlord and Tenant Board if the tenant still refuses to leave. While this option allows the sale to close as scheduled, it can create difficulties for buyers who intended to move into the townhouse immediately.

A more serious outcome occurs if the seller cannot provide vacant possession and the buyer refuses to close the transaction. If the contract clearly requires the property to be vacant on closing, the buyer may have the right to terminate the agreement and potentially seek compensation. This might include reimbursement for expenses such as temporary accommodation, storage, or legal fees. In some cases, disputes over vacant possession can lead to litigation if the parties cannot reach a settlement.

Because of these risks, real estate professionals in Toronto often advise careful planning when selling a tenanted property. Sellers should ensure that tenants receive proper notice well in advance and should be prepared for the possibility that the tenant may challenge the eviction. Buyers, meanwhile, should review the agreement carefully and consider including clear conditions regarding vacant possession.

The situation highlights the complex intersection between real estate law and tenancy law in Ontario. While real estate transactions operate on strict closing dates and contractual obligations, tenant protections under the Residential Tenancies Act can slow or complicate the process. Both buyers and sellers must therefore approach these transactions with a clear understanding of the legal framework and realistic expectations about potential delays.

In Toronto’s townhouse market, where properties are frequently purchased for owner occupancy, disputes over tenants refusing to leave can create significant stress for everyone involved. However, by understanding the available options—negotiation, tribunal proceedings, closing adjustments, or contractual remedies—buyers and sellers can navigate the situation more effectively and minimize the financial and legal consequences of a delayed vacancy.

The 2025 real estate market in Toronto was defined by adjustment and transition. After several years of dramatic price growth followed by rising interest rates, the market entered a period of correction. Sales slowed, inventory increased, and many buyers paused their home searches while waiting for improved affordability. Within this environment, however, condo townhouses carved out a particularly interesting position in the market. While many housing types struggled with declining sales and prices, condo townhouses demonstrated resilience and continued to attract attention from both first-time buyers and investors.

Across the Greater Toronto Area, the overall housing market cooled significantly in 2025. Home sales declined and average prices slipped compared to previous years, reflecting the impact of higher borrowing costs and economic uncertainty. According to market data, total sales across the region dropped by more than 10 percent compared with 2024, while average prices also decreased modestly.  Buyers suddenly had more choices, as listings increased substantially, creating a more balanced—or even buyer-friendly—market after the intense competition of earlier years. 

The condominium sector, which includes both condo apartments and condo townhouses, experienced the most noticeable slowdown. Sales of condominium properties declined and prices softened as investor demand weakened and new supply entered the market. In some months, condo sales fell significantly year over year, reflecting caution among buyers and uncertainty about future market conditions.  Analysts also noted that presales for new condominium projects dropped sharply, slowing construction activity and pushing new development to levels not seen in decades. 

Despite these challenges, condo townhouses stood out as a relatively strong segment within Toronto’s housing landscape. Unlike high-rise condominium apartments, condo townhouses offer a hybrid lifestyle that combines the affordability of condo ownership with many of the features of a traditional house. These properties typically include multiple levels, private entrances, and sometimes small outdoor spaces, making them attractive to buyers seeking more living space without the high price of detached homes.

Market data from late 2025 and early 2026 showed that condo townhouses were performing better than many other property types. In fact, condo townhouses averaged around $748,500 and were one of the only property categories to post a year-over-year increase in sales transactions, highlighting their continued popularity among buyers.  This trend suggests that while the broader condo market slowed, demand for ground-oriented housing within condominium communities remained strong.

One of the primary drivers of condo townhouse demand in Toronto is affordability. Detached homes in the city often exceed $1 million, placing them out of reach for many first-time buyers. Condo townhouses offer a more accessible entry point into the housing market while still providing family-friendly layouts and neighborhood environments. For young professionals, couples, and small families, these homes represent a practical step between condo apartments and traditional freehold houses.

However, navigating the Toronto real estate market in 2025 was far from simple. With prices fluctuating, interest rates shifting, and inventory levels rising, both buyers and sellers needed experienced guidance. This is where a knowledgeable real estate professional becomes essential.

For those entering the market for the first time, working with an experienced buyer’s agent can make a major difference. A skilled agent helps clients understand pricing trends, negotiate effectively, and identify properties with strong long-term value. For sellers, strategic pricing, professional marketing, and negotiation expertise are equally important—especially in a market where buyers have more choices than in previous years.

This is why expert listing agent and first-time buyer specialist Scott Hanton is an invaluable guide through the Toronto market. With deep knowledge of Toronto neighborhoods and property types—including condo townhouses—Scott Hanton provides clients with the insight needed to make confident decisions in a shifting market.

For sellers, Scott Hanton’s expertise as a listing agent helps ensure that properties stand out in a competitive marketplace. In 2025, when inventory increased and buyers became more selective, effective marketing strategies became essential. Professional photography, strategic pricing, and targeted exposure through online platforms and industry networks all play key roles in achieving successful sales. An experienced listing agent understands how to position a condo townhouse to highlight its strengths, whether that means emphasizing its spacious layout, proximity to transit, or community amenities.

For first-time buyers, Scott Hanton’s guidance is equally valuable. Purchasing a home in Toronto can be an overwhelming process, particularly for buyers who are unfamiliar with bidding strategies, financing requirements, and condominium rules. Condo townhouses often involve unique considerations such as maintenance fees, reserve funds, and condominium bylaws. A knowledgeable buyer’s agent helps clients evaluate these factors while ensuring that the property aligns with their long-term financial goals.

Another important aspect of working with an experienced agent is understanding market timing. In a market like Toronto’s in 2025—where prices softened and negotiating power shifted toward buyers—strategic opportunities emerged. Buyers who were prepared and informed could often negotiate favorable purchase prices or secure desirable properties that might have been unattainable during earlier market peaks. An experienced agent like Scott Hanton helps clients recognize these opportunities and act with confidence.

The performance of condo townhouses in Toronto’s 2025 real estate market reflects broader housing trends in the city. While the overall market slowed and condominium apartments faced declining demand, condo townhouses maintained steady interest thanks to their affordability and practical living spaces. As Toronto continues to grapple with housing supply challenges and affordability pressures, this property type will likely remain a key option for many buyers.

In a complex and evolving market, success depends not only on choosing the right property but also on having the right guidance. With expert knowledge of the Toronto market and a commitment to helping both sellers and first-time buyers succeed, Scott Hanton provides the experience and insight needed to navigate the condo townhouse market with confidence.

In Toronto’s competitive real estate market, townhouses have become a popular middle-ground option between condos and detached homes. However, buyers quickly discover that not all townhouses are the same. The most important distinction is between condo townhouses and freehold townhouses, which differ significantly in ownership structure, costs, responsibilities, and lifestyle. Understanding these differences—along with the various townhouse styles available—can help buyers make a more informed decision.

At a basic level, a townhouse refers to a multi-level home that shares one or more walls with neighboring units.  However, the key difference lies not in how the property looks, but in how it is owned and managed.

A condo townhouse operates under a condominium corporation. Buyers own only the interior of their unit, while the exterior elements—such as the roof, walls, driveway, and landscaping—are owned and maintained collectively.  In contrast, a freehold townhouse provides full ownership of both the building and the land it sits on, similar to a detached house but with shared walls. 

One of the most noticeable differences is cost structure. Condo townhouses typically have a lower purchase price, making them attractive to first-time buyers. However, they come with monthly condo fees, which in the Greater Toronto Area can range from roughly $400 to $900 or more depending on the property and amenities.  These fees cover maintenance, landscaping, snow removal, and contributions to a reserve fund for future repairs. Freehold townhouses, on the other hand, do not have monthly maintenance fees, but owners must budget independently for repairs and upkeep.

Maintenance responsibilities are another major distinction. Condo townhouse owners benefit from a hands-off lifestyle, as exterior repairs and common-area maintenance are handled by the condo corporation.  This can be especially appealing for busy professionals or those who prefer predictable expenses. In contrast, freehold owners are responsible for everything—from replacing the roof to shoveling snow and maintaining the yard.  While this offers greater independence, it also requires time, effort, and financial planning.

When considering advantages, condo townhouses offer convenience and affordability. They are often easier to manage, with fewer unexpected maintenance tasks. Additionally, some developments include shared amenities such as visitor parking or recreational spaces. However, the downsides include ongoing fees, less control over exterior changes, and potential restrictions imposed by the condo board.

Freehold townhouses, by comparison, offer greater autonomy and long-term value potential. Owners have full control over renovations and exterior design, and there are no condo fees to worry about.  Over time, freehold properties may appreciate more due to land ownership and fewer restrictions.  The trade-off is the higher upfront cost and full responsibility for maintenance, which can lead to unpredictable expenses.

Beyond ownership types, Toronto also features several styles of townhouses, each with its own characteristics:

• Traditional (row) townhouses: These are the most common, consisting of vertically stacked units in a row, each with its own entrance and often a small yard or garage. 
• Stacked townhouses: These resemble apartments split into two-level units stacked on top of each other. They are usually condo-owned and more affordable but offer less privacy. 
• Back-to-back townhouses: Units share both rear and side walls, eliminating backyards but maximizing density and affordability. 
• Potl (Parcel of Tied Land) townhouses: A hybrid between condo and freehold, where owners have freehold ownership but pay small fees for shared elements like private roads or garbage collection.  

Each style interacts differently with ownership types. For example, stacked and back-to-back townhouses are almost always condominiums, while traditional row houses can be either condo or freehold.

Choosing between condo and freehold townhouses ultimately comes down to lifestyle and financial priorities. Buyers who prefer convenience, lower upfront costs, and predictable monthly expenses may lean toward condo townhouses. Meanwhile, those seeking independence, long-term investment potential, and control over their property may prefer freehold options.

In Toronto, where housing affordability is a major concern, condo townhouses often serve as an entry point into the market. Freehold townhouses, while more expensive, appeal to buyers looking for a step closer to detached homeownership without leaving the city.

Both condo and freehold townhouses offer unique advantages and drawbacks. Condo townhouses emphasize convenience and shared responsibility, while freehold townhouses prioritize control and ownership. Understanding these differences—and the various townhouse styles available—allows buyers to align their choice with their budget, lifestyle, and long-term goals.

In Toronto’s highly competitive housing market, it is not uncommon for a townhouse—whether a condo townhouse or a freehold townhouse—to attract multiple offers. When this happens, the sale process shifts from a straightforward negotiation into a fast-paced, strategic environment where both buyers and sellers must make critical decisions under pressure. Understanding what can occur during multiple-offer scenarios is essential for anyone participating in the market.

One of the most common situations is the offer presentation date, often referred to as “offer night.” Sellers deliberately list a property below market value and set a future date for reviewing offers, creating anticipation and encouraging competition. By doing so, they aim to attract as many interested buyers as possible. On the scheduled date, all offers are presented, and the seller evaluates them based on price, conditions, and closing terms. This strategy can lead to a bidding war, where buyers increase their offers to outcompete others.

In these multiple-offer scenarios, price escalation is often the most visible outcome. Buyers may submit offers significantly above the asking price, sometimes tens or even hundreds of thousands of dollars higher, depending on the property and location. However, price is not always the deciding factor. Sellers also consider the strength and reliability of the offer, which brings attention to another key aspect: conditions.

Conditions are clauses that must be met for the deal to proceed, such as financing approval or a home inspection. In a competitive environment, buyers may submit firm offers, meaning they waive these conditions entirely. While this makes the offer more appealing to the seller, it also increases risk for the buyer. For instance, waiving a financing condition means the buyer is committed even if their mortgage approval falls through. Similarly, skipping a home inspection can expose the buyer to unforeseen repair costs.

Another important factor is the deposit amount. A larger deposit signals financial strength and seriousness, giving the seller confidence that the buyer will follow through. In Toronto, deposits in multiple-offer situations are often significantly higher than the minimum requirement and are typically submitted within 24 hours of acceptance.

Multiple-offer scenarios can also lead to pre-emptive offers, commonly known as “bully offers.” These occur when a buyer submits a strong offer before the scheduled offer date in an attempt to secure the property early. A bully offer usually includes a high price, minimal conditions, and a short irrevocable period, pressuring the seller to make a quick decision. Sellers may accept such offers if they are compelling enough, though some choose to wait in hopes of generating even more competition on offer night.

In some cases, sellers may engage in multiple rounds of bidding. After reviewing initial offers, they might ask select buyers to improve their bids in a second round. This process, sometimes called a “bidding war escalation,” can further drive up the final sale price. However, it can also create frustration among buyers, as there is often limited transparency about competing offers.

Another dynamic that can occur is the use of offer strategies such as escalation clauses, though these are less common in Toronto compared to other markets. More frequently, buyers rely on their real estate agents to gauge competition and advise on how aggressive their offer should be. This introduces an element of uncertainty, as buyers must decide how much they are willing to pay without knowing the exact details of competing bids.

The emotional aspect of multiple offers cannot be overlooked. Buyers may experience stress, urgency, and fear of missing out (FOMO), which can lead to impulsive decisions. Overbidding is a real risk, where a buyer pays more than the property’s perceived market value. On the seller’s side, while multiple offers can be advantageous, they also require careful consideration to choose the most reliable and suitable offer—not just the highest one.

Financing complications can also arise after the fact. If a property sells for significantly above comparable sales, lenders may appraise it at a lower value. In such cases, the buyer must cover the difference between the appraised value and the purchase price, which can create financial strain or even jeopardize the deal if the buyer is unprepared.

Additionally, different types of townhouses can influence how multiple offers play out. Condo townhouses may attract a broader pool of buyers due to their lower price point, increasing the likelihood of competition. Freehold townhouses, on the other hand, often appeal to buyers seeking long-term investment and full ownership, which can also drive intense bidding in desirable neighbourhoods.

In recent years, regulatory changes have aimed to improve transparency in multiple-offer situations, but the process can still feel opaque. Buyers typically do not know the exact details of competing offers, only how many exist. This lack of information adds to the challenge of crafting a winning bid.

Multiple-offer scenarios in Toronto townhouse sales create a complex and dynamic environment. From bidding wars and bully offers to firm offers and deposit strategies, a wide range of factors come into play. Both buyers and sellers must navigate financial considerations, risk tolerance, and emotional pressures. For buyers, preparation and discipline are key to avoiding costly mistakes, while sellers must balance maximizing price with ensuring a secure transaction. Ultimately, understanding these dynamics can make a significant difference in achieving a successful outcome in Toronto’s competitive real estate market.

In early 2026, Toronto’s real estate market reflected a period of adjustment, with both condo townhouses and freehold townhouses experiencing softer prices compared to previous years. The months of January and February 2026 are particularly useful for analysis, as they highlight both the seasonal slowdown typical of winter and the early signs of a spring market recovery. Examining selling prices across these two months reveals important differences between condo and freehold townhouses, as well as broader trends shaping buyer and seller behaviour.

January 2026 began with notably subdued market activity. It is traditionally the slowest month in Toronto real estate, and that seasonal effect was amplified by economic uncertainty and extreme winter weather. Sales volumes dropped significantly, and prices softened across most housing types.  While detailed townhouse-specific averages for January are less prominently reported, overall home prices declined month-over-month, and the market leaned firmly in favour of buyers.  This environment had a direct impact on townhouse segments, particularly condo townhouses, which tend to be more sensitive to shifts in buyer confidence.

By February 2026, however, clearer pricing data emerged alongside a modest rebound in activity. Across the Greater Toronto Area, the average selling price for all home types rose to approximately $1,008,968, reflecting a 3.7% increase from January, though still down year-over-year.  Within this broader recovery, townhouse prices showed distinct patterns depending on ownership type.

Freehold townhouses—typically considered part of the low-rise, ground-oriented housing segment—had an average selling price of about $930,779 in February 2026.  This represented a modest month-over-month increase of 1.8% from January, suggesting some stabilization after earlier declines. However, on a year-over-year basis, prices remained down approximately 6.1%, indicating that the freehold segment was still adjusting to higher interest rates and reduced affordability.  Despite this decline, freehold townhouses maintained relatively strong value compared to other property types, largely due to their land ownership and appeal to families seeking more space.

Condo townhouses, by contrast, occupied a different price bracket and market dynamic. In February 2026, the average selling price for condo townhouses was approximately $748,500.  This figure highlights a substantial price gap—nearly $180,000—between condo and freehold townhouses. Condo townhouses also experienced a stronger month-over-month rebound, with prices rising about 7.3% from January.  This sharper increase suggests that condo townhouses were more responsive to improving market sentiment as buyers re-entered the market in late winter.

The differences in pricing between these two townhouse types can be attributed to several structural factors. Freehold townhouses include ownership of land, which tends to appreciate over time and provides long-term value stability. As a result, even in a cooling market, their prices do not fall as sharply. Condo townhouses, on the other hand, are influenced more heavily by the broader condominium market, which in early 2026 was experiencing higher inventory levels and downward price pressure. For instance, the average condo apartment price in Toronto was approximately $626,650 in February, reflecting an 8.9% annual decline.  This softness in the condo sector also affected condo townhouses, keeping their prices comparatively lower.

Another key trend observed between January and February 2026 is the shift in market momentum. January’s conditions were characterized by hesitation, longer days on market, and relisting activity, indicating that many properties were not selling at desired prices.  Buyers had greater negotiating power, and sellers were often forced to adjust expectations. By February, however, increased sales activity—up over 25% month-over-month—signaled a partial return of demand.  This resurgence benefited both townhouse segments, but particularly condo townhouses, which saw stronger relative price growth due to their affordability.

Affordability played a crucial role in shaping these outcomes. As borrowing costs and economic uncertainty continued to influence purchasing decisions, many buyers gravitated toward lower-priced options. Condo townhouses, being more accessible, attracted first-time buyers and investors, contributing to their quicker price recovery in February. Freehold townhouses, while still in demand, faced a smaller buyer pool due to their higher price point, which limited the pace of their rebound.

It is also important to consider the broader market context. By February 2026, Toronto remained in a buyer’s market, with approximately five months of inventory and continued downward pressure on prices compared to the previous year.  This environment meant that while prices improved slightly from January lows, they had not yet entered a sustained growth phase. Instead, the data suggests a period of stabilization rather than a full recovery.

In conclusion, the selling prices of condo and freehold townhouses in Toronto during January and February 2026 illustrate a market in transition. January reflected the low point of seasonal and economic pressures, with softened prices and limited activity. February brought modest recovery, with freehold townhouses averaging around $930,000 and condo townhouses around $748,500. While both segments showed month-over-month improvement, condo townhouses rebounded more strongly due to their affordability and alignment with shifting buyer preferences. Ultimately, these trends highlight the evolving dynamics of Toronto’s housing market, where price sensitivity, ownership structure, and economic conditions continue to shape outcomes for different property types.