After a period of sluggish detached home sales in the Greater Toronto and Greater Vancouver areas, some of the most affordable markets saw both sales and prices edge upward this spring, according to a ReMax Canada report.

Improved affordability, lower interest rates and increased inventory have converged in an "all-stars-have-aligned moment" to drive up demand in these areas, Samantha Villiard, vice-president of region development at ReMax Canada, told RENX Homes.

In the Greater Toronto Area (GTA), homes priced from $850,000 to $1.2 million in key pockets of the region sold quickly. In the Greater Vancouver Area (GVA) and the Fraser Valley, homes in the $1-million to $1.5-million price point were the most active on the market.

ReMax found 19 of the 83 markets (23 per cent) in both areas had detached housing sales on par or ahead of levels the year prior from January to June. In the same period, 16 markets (19 per cent) saw home values rise.

Limited inventory, particularly for the most affordable detached housing, was responsible for the appreciation.

“After a prolonged period of uncertainty, we’re starting to see slow but building momentum in Canada’s largest real estate markets,” Don Kottick, president of ReMax Canada, said in a release.

The findings in the 2025 Hot Pocket Communities Report published Thursday morning show signs of life in the detached housing market. However, across the GTA and GVA as a whole, detached home sales in the first half of this year were the lowest level on record in 10 years or more — 13,991 in the GTA and 3,273 in the GVA.

Where sales activity, average prices increased the most

Sales activity in both areas was led by the 416 area code in the GTA, with over 34 per cent of its markets seeing stable or growing activity in the six-month period of January to July. Trailing slightly was the GVA with 29 per cent of its neighbourhoods seeing more sales than the year before.

Activity has been picking up in those particular neighbourhoods because they tend to be close to downtown cores, Villiard explained. Plus, detached housing has been catching on because of the larger home sizes and many having rental suites or basements that can be turned into rental suites, helping to offset mortgage costs. 

Of the top five detached housing markets by percentage increase in sales, four were in the GTA. The W01 district in Toronto, which encompasses South Parkdale, Roncesvalles and High Park-Swansea, was No. 1 with a 56.5 per cent increase year-over-year (from 46 to 72 sales).

While the GTA detached housing markets experienced the most increases in sales activity, the GVA was the leader in price surges. Five out of 17 GVA communities (over 29 per cent) increased in median price, compared to almost 23 per cent of 416 markets.

Of the top five detached housing markets by percentage increase in values, three were in the GVA and two in the GTA.

At the peak was Whistler and Pemberton in the GVA at a 12.1 per cent increase, going from $2.35 million to over $2.66 million.

Market has rare combination of price, quality, time

With a note of caution until a trade deal between Canada and the U.S. is finalized, Kottick listed reasons to anticipate further price growth in Canada’s housing markets both big and small. He cited moves toward economic transformation and diversification, and the possibility of further interest rate cuts from the Bank of Canada which could unleash pent-up demand - though the latter is far from a certainty.

Such recovery may already be happening. ReMax said an uptick in sales in the GVA and Fraser Valley markets suggest signs of a revival. A delayed spring market may have finally sprung in the GTA, as the number of listing views, showings and offers is on the rise.

Though overall GTA housing sales have declined dramatically, “demand for detached housing continues to bolster the market, with the segment representing nearly half of total sales,” ReMax says.

It attributes this trend to first-time buyers, who have been galvanized by the increase in the average price for a detached home in May, which means the time for a purchase may be narrowing.

The housing market in both areas is offering the rare combination of price, quality and time, Kottick said, creating “one of the very rare windows of opportunity where active buyers could now reap the benefits of all three.”

With that narrow timeframe potentially about to close, Villiard expects housing prices to increase due to heightened demand. 

"It's inevitable, it's what's going to happen. So if someone's interested in buying, it's absolutely a wonderful time to explore what that would look like financially," she said.