If you own a condo in Toronto and have been thinking about moving up to a larger space, 2025 might be one of the most strategic times to do it. The Toronto real estate market has quietly shifted in a way that many buyers - and even some agents - haven't fully recognized.
Condo owners have a window of opportunity right now, but only if they understand how to read the numbers and plan their move with precision.
Understanding the Market Shift
When we look at benchmark pricing over the past five years - covering detached homes, semis, townhouses, and condos - a clear pattern emerges. Prices peaked in early 2022 and have since gone through several phases of correction and stabilization.
Detached and semi-detached homes, which tend to be the target properties for condo owners looking to upsize, experienced a steep rise and then a measured decline. Condos and townhouses, on the other hand, have remained relatively flat, with some downward pressure returning in 2025.
This gap between condo values and freehold properties has opened up again, creating a potential advantage for sellers who are trading up.
Why This Matters for Condo Owners
If you've owned your condo for several years, chances are you built up significant equity during the 2020–2022 run-up. While prices have adjusted, the spread between what you can sell for and what you can buy has shifted in your favour.
Freehold properties are still competitive in key neighbourhoods - areas like Bloor West, North Riverdale, and Bedford Park - but they are trading at prices that make upgrading more achievable than it was at the peak.
This is where strategy comes into play. Understanding when and how to make your move can mean the difference between stretching your budget and securing a home that appreciates faster in the long run.
For example, even a modest adjustment in minimum down payment rules - now applying to properties under $1.5 million - has created flexibility for upsizers who previously faced tighter financial limits.
This level of clarity helps you make informed decisions about timing, financing, and property selection.
Condo owners have a window of opportunity right now, but only if they understand how to read the numbers and plan their move with precision.
Understanding the Market Shift
When we look at benchmark pricing over the past five years - covering detached homes, semis, townhouses, and condos - a clear pattern emerges. Prices peaked in early 2022 and have since gone through several phases of correction and stabilization.
Detached and semi-detached homes, which tend to be the target properties for condo owners looking to upsize, experienced a steep rise and then a measured decline. Condos and townhouses, on the other hand, have remained relatively flat, with some downward pressure returning in 2025.
This gap between condo values and freehold properties has opened up again, creating a potential advantage for sellers who are trading up.
Why This Matters for Condo Owners
If you've owned your condo for several years, chances are you built up significant equity during the 2020–2022 run-up. While prices have adjusted, the spread between what you can sell for and what you can buy has shifted in your favour.
Freehold properties are still competitive in key neighbourhoods - areas like Bloor West, North Riverdale, and Bedford Park - but they are trading at prices that make upgrading more achievable than it was at the peak.
This is where strategy comes into play. Understanding when and how to make your move can mean the difference between stretching your budget and securing a home that appreciates faster in the long run.
Planning with Precision
A critical part of this process is knowing your numbers. By using a simple calculator based on benchmark prices, you can estimate your potential sale proceeds, down payment requirements, and total funds needed to close on your next home.
A critical part of this process is knowing your numbers. By using a simple calculator based on benchmark prices, you can estimate your potential sale proceeds, down payment requirements, and total funds needed to close on your next home.
For example, even a modest adjustment in minimum down payment rules - now applying to properties under $1.5 million - has created flexibility for upsizers who previously faced tighter financial limits.
This level of clarity helps you make informed decisions about timing, financing, and property selection.
Avoiding the Five Common Mistakes
Many buyers and sellers fall into predictable traps when trying to upsize. The five most common include:
Upsizing is rarely a quick process. From initial consultation to closing day, it typically takes five to eight months. By mapping out your approach early - considering financing options, property preparation, and desired location - you can move confidently instead of reactively.
Many buyers and sellers fall into predictable traps when trying to upsize. The five most common include:
- Misjudging the timeline between selling and buying
- Reacting to market shifts without a clear plan
- Trying to time the market rather than timing their personal move
- Overlooking differences between neighbourhood micro-markets
- Failing to prepare their current property for sale
Upsizing is rarely a quick process. From initial consultation to closing day, it typically takes five to eight months. By mapping out your approach early - considering financing options, property preparation, and desired location - you can move confidently instead of reactively.
Making the Right Move in 2025
The Toronto real estate market is cyclical, but strategic windows like this don't last forever. Condo owners who recognize the current price alignment and act with preparation stand to benefit significantly.
Understanding your numbers, planning your timing, and having a strategy in place will position you to take advantage of one of the most unique opportunities in recent years.
The Toronto real estate market is cyclical, but strategic windows like this don't last forever. Condo owners who recognize the current price alignment and act with preparation stand to benefit significantly.
Understanding your numbers, planning your timing, and having a strategy in place will position you to take advantage of one of the most unique opportunities in recent years.
