Market Overview: Cautious but Hopeful
The 2025 Royal LePage Canadian Renters Report highlights a cautious yet optimistic outlook among renters in Ontario. As the rental landscape begins to shift, more tenants—especially in major urban centres like Toronto—are closely monitoring the market for the right opportunity to enter homeownership.
While affordability remains a significant hurdle, easing rents and the possibility of lower interest rates are encouraging many renters to start planning their next move.
Key Ontario Stats:
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55% of renters in Ontario intend to buy property in the future
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15% say they plan to purchase within the next two years
Toronto Rents Are Easing — Offering Breathing Room
According to the June 2025 National Rent Report by Rentals.ca, the Toronto rental market is seeing its largest year-over-year decline since the pandemic:
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Overall rent: down 6.7% year-over-year
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One-bedroom units: down 7.1%, averaging $2,302/month
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Two-bedroom units: down 10.7%, averaging $2,933/month
These declines mark the largest year-over-year rent drops since the pandemic, and the eighth consecutive month of falling rent prices. The drop in rental prices can be attributed to tightening policies made by Immigration, Refugees and Citizenship Canada (IRCC), which has reduced demand, particularly from international students and temporary workers, combined with a surge in newly completed purpose-built rental condos that have increased supply across the GTA.
Tenant Sentiment: Delayed but Determined
Even as rents ease, many renters still hope to buy once conditions improve further.
According to the Royal LePage survey:
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28% of renters considered buying before signing/renewing their lease
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Of those:
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42% are waiting for prices to fall
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34% are waiting for lower interest rates
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34% said they are not yet qualify for a mortgage or financing
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The stats show a high level of engagement among renters who are closely watching the housing market and interest rate trends.
What This Means for Ontario’s Real Estate Market
✔️ Renters are more engaged than ever—tracking interest rates, price drops, and new listings
✔️ Landlords may face pressure to stay competitive on pricing or navigate longer vacancies
✔️ Realtors play a vital role in helping tenants explore the transition to ownership
Final Thoughts from The Fisher Group
If you're currently renting in the GTA, now could be a critical time to start planning your homeownership journey.
Our advice:
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Talk to a trusted local realtor
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Review your finances
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Learn about first-time buyer incentives
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Stay updated on rate trends and market shifts
Contact The Fisher Group
Serving Oakville & the GTA
Let’s talk about your goals—whether it’s your first purchase, investment, or strategic move in the current market.
Fisher Yu
📱 647.598.8488
📞 877.539.3229
✉️ [email protected]
🔗 thefishergroup.ca
We're here to help you make informed decisions—whether you're buying your first home or investing in the future.
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