Toronto’s reputation as an insanely expensive city might be taking a pause—at least for renters and buyers eyeing the housing market right now. Recent data shows that both property prices and rent have dipped significantly over the past year, creating some of the most affordable conditions the city has seen in a while.

In the Greater Toronto Area, the average home is now selling for 5.5% less than last year, with condos hit even harder at a 9.3% decline. Rental prices have mirrored the downward trend: the median one-bedroom apartment in Toronto now costs $2,220 per month, marking an 11.9% drop from July 2024. Two-bedroom units have fallen even more, down 12.5% year-over-year. While Toronto still ranks as one of Canada’s priciest rental markets, these reductions are significant for tenants hunting for a deal.

This trend isn’t limited to Toronto. Nearby cities like Barrie, Oshawa, and Kitchener are also seeing notable rent drops, though the scale isn’t quite as dramatic as in T.O. For example, one-bedroom rents in Kitchener fell 9.3%, while two-bedroom units dropped 7.8%. Other Ontario cities such as Ottawa, St. Catharines, London, and Windsor also saw modest declines, with Windsor remaining the most affordable of the bunch.

Nationally, the rental market has been cooling for nearly a year, with Ontario and B.C.’s major cities feeling the biggest impact. Meanwhile, smaller markets like Saskatoon and Regina continue to see steady growth.

For renters and buyers, this could be a rare opportunity to snag housing in Toronto at prices lower than last summer, though experts caution that the market remains volatile and changes could come quickly.