Buyers Gain Leverage as Listings Rise Across North America

Homeowners who once held the upper hand in real estate negotiations are increasingly having to compromise as a growing supply of listings and persistent affordability constraints shift power toward buyers across North America, real estate boards and industry analysts said this month. The change is visible in both Canadian markets such as Toronto and Vancouver and in many U.S. metros, where sellers are cutting prices, offering concessions or pulling listings rather than accepting steep discounts.

In Toronto, the Toronto Regional Real Estate Board reported 5,211 transactions in August, a modest 2.3 percent gain from a year earlier but a decline from July on a seasonally adjusted basis. New listings, however, surged 9.4 percent year over year to 14,038, and the average selling price fell to about $1,022,143, down 5.2 percent from August 2024. Jason Mercer, chief information officer at the board, said listings are increasing faster than sales, giving buyers more choice and negotiating power. He noted the sales to new listings ratio sits near 30 percent, far below the 60 to 80 percent seen at the market peak in 2022 and 2023.

Similar patterns are playing out elsewhere in Canada. The...