Homes are selling for over list prices in this area of Toronto

While the real estate market has remained flat in most of the Greater Toronto Area, there are some neighbourhoods where homes are selling for over the list price.

Market conditions generally remained “muted” ahead of spring, traditionally a time for more active sales, the latest Market Pulse report from digital real estate platform Wahi stated.

According to Wahi’s analysis, seven per cent of the 238 GTA neighbourhoods in which at least five homes were sold last month were in overbidding territory this February, up from six per cent of the 213 neighbourhoods that met the minimum sales threshold in January.

The majority—91 per cent of neighbourhoods—were in underbidding territory, and two per cent were selling at asking, Wahi found.

In February 2025, 20 per cent of neighbourhoods were in overbidding territory.

“We would expect to see some increase in bidding competition as we head towards the spring,” said Ryan McLaughlin, Wahi’s economist. “However, given how similar competition levels have been in the first two months of the year, all eyes will be on the March data.”

While the market is mostly flat, overbidding was happening in Toronto’s east end last month. This area saw the strongest demand in an otherwise mostly quiet market, Wahi said.

Three of the top five GTA neighbourhoods for overbidding in February were located on Toronto’s east side (The Beaches, The Danforth, and Leslieville). These neighbourhoods aren’t the city’s most affordable, but they tend to offer competitive pricing for areas that are fairly centrally located, Wahi noted.

Wahi notes that a variety of factors can influence bidding trends, from seasonality to selling strategies. For instance, in some cases, realtors could price a home below market value in hopes of attracting multiple offers.

York Mills, last year’s most buyer-friendly neighbourhood, exited the top five for underbidding this February after beginning the year on top. It was replaced by Eastlake in Oakville, the most underbid GTA neighbourhood of 2024.

When looking at all listings regardless of location, there was a more noticeable rise in the share of homes selling for more than asking. Some 21 per cent of all listings that sold last month changed hands for more than the list price, compared to 16 per cent in January.

Drilling down into the numbers by housing type, buyers were more likely to drive up prices for single-family homes rather than condos.

Just 14 per cent of condos across the region sold for over asking last month, compared to nearly one-in-four (24 per cent) single-family homes. The share of single-family homes selling for more than asking is at the highest point since the beginning of last year’s fall market.

See the full report from Wahi here.

Lead photo of The Beaches: Google Maps