Is Now the Time to Sell?
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The 2025 real estate market is shaping up to be the perfect opportunity for buyers, especially first-time buyers—but what about sellers? Some sellers are reconsidering when the best time to sell is due to their uncertainty about the news and the overall market, which seems to give power to the buyers.
Buyers in the real estate market may not need to perfectly time the market to be successful, but it is more important for investors and sellers to sell when the market is right for them to maximize their profits. However, sometimes there are life events or circumstances that require selling a property at a less favourable time. In those cases, partnering with an experienced real estate agent and using proven listing strategies to encourage strong offers can benefit sellers no matter the market conditions. The best time to sell will always depend on the seller’s life circumstances, financial circumstances, and other factors.
Let us tell you the advice we gave to one of our clients, Albert (client’s name has been changed to protect their privacy).
Is Now the Time to Sell?
Albert purchased a pre-construction condo in downtown Toronto in 2019 as a first-time home buyer. He officially closed and moved into his one-bedroom plus den condo in 2024.
But his life circumstances have changed. Albert plans to be engaged by the end of 2025 and marry in the next few years. As part of his next chapter in life, he and his partner hope to move into a larger space that better suits their future plans and budget, which likely means moving to a more affordable location outside the city.
So, Albert came to us with a question echoing many others we hear often these days:
“Should I sell now before the condo market gets worse, or wait?”
The Toronto condo market, especially the pre-construction market, has experienced a large dip, and some news outlets have gone so far as to say it will never recover. This has created a sense of real anxiety for many first-time condo owners like Albert. No one wants to sell at a loss—or make a decision they will come to regret later on.
Here is our advice
Here is what we advise Albert, and it’s something we say to our clients time and time again. The real estate market is cyclical! While the current condo market may be the slowest it has ever been in about the last 30 years, we have seen that it is never permanent. Real estate goes through its ups and downs, and we have decades of past evidence that the market will recover with time.
Condo prices will rebound in a few years, and even more so because a housing shortage is expected to hit within the next decade. We also always recommend that our clients hold property for as long as they can, as investing in real estate should always be for the long term, and properties will appreciate in value over many years without fail.
Although Albert has a mortgage, he fully owns a condo in an amazing location in the heart of the downtown core. We have offered him 3 possible options depending on his current finances:
1. Turn It Into a Rental
If it is within Albert’s budget, renting the condo unit out and buying his dream home could be a very smart move. He can pivot from being just a proud homeowner to also a smart investor, allowing him to pay off his mortgage with rental income. Downtown Toronto has a highly in-demand rental market, and Albert’s condo enjoys a prime location near a subway line, which makes it desirable to renters. Holding the property will allow him to generate passive income while still building equity in his home over the years. So, if Albert is able to manage his finances, he can definitely have his cake and eat it too.
2. Sell to Buy a Bigger Property
The current market has lower average home prices and higher inventory than usual, which is advantageous for buyers overall. As Albert knows that he will eventually be moving into a larger home with his future wife, he can sell his condo and use the profit he receives towards purchasing now. He may sell it for less than he would in a few years, but he will be buying a bigger home for cheaper as well.
3. Consider Holding For Now
If Albert is tight on money and cannot afford to buy a bigger house in today’s buyer’s market, even after selling his condo at a loss, then the recommended option would be to hold. As Albert doesn’t need to move immediately, he has the option of waiting a few years until he relocates with his future wife and his condo value goes up in price. This will allow him to monitor the market and sell when it is more favourable, and he will then have the capital to buy their dream home.
Alternatively, he can refinance his mortgage when the time comes so that he can still keep his condo as a rental property and use the remortgaged funds to help buy their future home.
So, Is Now the Time to Sell?
The answer may not be the same for everyone, as it will depend on your personal life circumstances, timeline, and financial situation. For some, selling their current property might make sense in order to have more capital to take advantage of this buyer’s market to purchase a bigger home. However, it may be wiser for others, like Albert, to play the long game and rent out his unit. Even if he has negative cash flow for the first few years, there will come a tipping point when his rental income will turn to profit in time.
Whether it’s waiting for a market rebound or turning your home into an investment property, don’t do it just because the market “feels” uncertain! Stay well-informed and base your decision on research and hard facts. At the end of the day, real estate is not about speculating and timing the market; it is about how you will build your wealth and your future.
If you have questions about selling, holding, or renting your property, GTA-Homes is here to help! Our expert real estate agents will help you set your goals and timeline while offering tailored advice for what makes the most sense for your situation. We are here to help guide you every step of the way.
Call Stan at 604-202-1412.
