The Reality: It’s Not the Market, It’s all about the Property
There is a common misconception right now that buyers have all the leverage. While that may be true in certain segments, it does not apply to every property.
The homes that are winning in today’s market downturn share a few key characteristics:
- Prim location
- Turnkey or high-quality renovations and finishes
- Parking
- Strong layout and livability
- Scarcity within their neighbourhood
- Strategic pricing that attracts attention
WHEN THOSE ELEMENTS COME TOGETHER, IT WILL DRAW IN EVEN THE MOST DISCERNING OF BUYERS.
Scarcity Is Driving Competition
Even in a market with as much inventory as is currently on the market (20,000+), believe it or not, there is still a shortage of quality homes.
While there may be thousands of listings on the market, very few check all the boxes. Buyers are not competing for every property; in essence, they are competing for highly specific properties in terms of characteristics and quality. In neighbourhoods like South Riverdale, for example, there may only be one or two handfuls of truly desirable homes available in a given year. When one hits the market, the activity and competition can be fierce.
Turnkey Homes Are Dominating
One of the most important shifts we are seeing is a strong preference for turnkey properties. Buyers today are far less willing to take on renovations due to cost, time, and risk. In previous years, in a booming market and more robust economy, buyers were more open to purchasing a property and figuring it out later on on the fly. That mindset has changed. If a home is beautifully finished and move-in ready, it will outperform, especially if it has key attributes, like parking. If a property requires significant work, it may struggle regardless of location and even price.
The Emotional Factor Is Back
The most successful properties can stimulate an emotional reaction. When buyers walk into a generic feeling home and feel nothing, they move on. In this market environment, generic condos and low-rise homes will continue to struggle to sell. When a buyer walks into a home that feels special and uniquely meets their requirements, they act quickly and are often willing to compete. Seeing this level of competition and activity can be very surprising and confusing to buyers entering the market.
In a market where average listings struggle, strategy matters more than ever. Our FM Seller Page walks through how we create differentiation through pricing, presentation, and marketing to drive demand.
Why Some Homes Are Sitting
Many properties are not performing well and are just sitting on the market, collecting dust.
These homes typically have:
- Poor layouts
- Dated interiors
- Overpriced relative to market conditions
- Typically very generic
- Missing key features like parking or natural light
In a strong market when properties are flying off the shelves, buyers are willing to overlook these types of flaws.
The Buyer Misconception
Many buyers enter the market in search of deals, thinking they will get a steal. There is an old adage that the price is what you pay for something, but the value is what you get in return. Many buyers are too focused on price, even in today’s market and are in for a rude awakening when they find out how much demand there is for turnkey character homes in sought-after neighbourhoods.
If you’re starting your search, the Fox Marin First-Time Home Buyer Academy is designed to walk you through exactly this. From how pricing strategies work to what actually drives competition, it gives buyers the clarity most people only gain after months in the market.
The Importance of Strategy
For buyers, navigating this market requires clarity, discipline and education. Getting out there and getting tactile is key, and then watching how these properties perform on offer nights is critical. It truly is the only way a buyer can intuitively understand what is happening in the marketplace in their area of focus.
For sellers, the takeaway is just as important: if your property is not inherently exceptional, you need to create differentiation through presentation, staging, and pricing strategy.
Because in today’s market, being average is a direct path to failure.
A Market of Two Speeds
What we are seeing in Toronto right now is two markets operating simultaneously:
- One where premium, well-executed homes attract strong competition
- Another where average, tenanted, or flawed properties struggle
Final Thoughts
Toronto real estate has always been complex, but today’s condition require even deeper insight. It certainly is not for the faint of heart or the unprepared.
If you are thinking about buying or selling in central or downtown Toronto, the key is to focus on quality, strategy, and data. The difference between success and failure often comes down to your deep understanding of what actually drives demand.
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(*Source: Jan. 1, 2018 – Sept 1, 2025, RE Stats Inc. & Exclusive)
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This article was written by Kori Marin, a Toronto Broker & Managing Partner at Fox Marin Associates. For high-energy real estate aficionado Kori Marin, a well-lived life is achieved by maintaining an “all-in” attitude that realizes every last ounce of one’s full potential. This mindset has driven successful results in every aspect of her life – from her corporate sales and account management experience to her international travels to her years of fitness training and leadership – and is the hallmark of the exceptional work that she does on behalf of her clients in the residential real estate sector in downtown Toronto.
