London Ontario Real Estate Market Update — Summer 2026
Heading into summer, London's market is calmer and more rational than it has been in years. Prices have steadied, inventory has built back up, and buyers finally have time to think. Here's my read on where the London Ontario market stands right now — the numbers, what's driving them, and what it means whether you're buying or selling this season.
Eric Cassidy
London Ontario Real Estate Agent, Cassidy & Co.
Where prices sit right now
The headline number coming into summer 2026: the average home sale price across the London and St. Thomas market was about $627,000, up roughly 0.8% from the previous month but around 2.5% below where it sat a year earlier. The MLS Home Price Index benchmark — which strips out the effect of whether more high-end or entry-level homes happened to sell — sat near $563,000.
Break it down by property type and the picture is consistent: single-family homes benchmark around $617,000, townhouses around $453,000, and condo apartments around $322,000. Apartments have softened the most year-over-year, while detached homes have held their value better. None of these are crash numbers — they describe a market that's drifted gently lower and is now finding a floor.
The inventory story matters more than the price story
If you take one thing from this update, make it this: London has roughly 5.9 months of inventory and a sales-to-new-listings ratio near 39%. Both of those put us firmly in buyer's market territory. For context, a balanced market generally runs around four to six months of supply with a sales-to-new-listings ratio in the 40s to 50s. We're below that on the demand side, which is why buyers have leverage they simply didn't have during the rush of a few years ago.
In practical terms, that means more homes to choose from, fewer multiple-offer situations, and real room to negotiate on price and conditions. I'm regularly writing offers with financing and inspection conditions again — something that was nearly impossible to do successfully during the overheated stretch.
My take: A buyer's market doesn't mean every home is a deal. The best, well-priced listings in strong neighbourhoods still move quickly, sometimes with competition. The leverage is real, but it's selective — it rewards buyers who are ready and decisive, not those waiting for prices to collapse.
Sales are quietly picking up
After an extended run of year-over-year declines, the market recently posted its first positive annual sales gain in a while — modest at around 4%, but a meaningful turn in direction. Roughly 586 homes changed hands in a single recent month, well up from the prior month as the spring market woke up. That's the kind of stabilizing signal I look for: buyers re-entering with confidence rather than fear.
Well-priced, move-in-ready homes are still selling within a few weeks, with median days on market in the area recently around four weeks. The gap is widening between homes priced to the current market and those still anchored to last cycle's values — the latter are sitting, and sellers are eventually adjusting.
The rate backdrop
The Bank of Canada has held its overnight rate at 2.25% since late 2025, with the prime rate steady at 4.45% and the best insured 5-year fixed mortgage rates sitting near 4%. Stable rates are a big part of why the market has settled. Buyers can plan with some confidence, and the affordability picture isn't moving sharply in either direction month to month.
The honest caveat: the outlook is genuinely uncertain, with economists split on whether the next move is a cut or eventually a hike, depending on inflation and trade conditions. I won't pretend to forecast it. What I will say is that waiting purely to time a rate change is a gamble — the right time to buy is generally when the home and the monthly payment work for your life, and your lender confirms you qualify comfortably. You can follow the data each month on our London market reports page.
A note on summer timing: Late spring and early summer are traditionally London's busiest stretch, with more listings hitting the market and family buyers trying to close before the school year. That seasonal bump in supply tends to reinforce the buyer-friendly conditions we're already seeing — more selection to choose from, and sellers who need to price sharply to stand out among the competition.
The market isn't one market — it's several
One thing the board-wide average hides is how differently the segments are behaving. Detached single-family homes have held their value best, benchmarking around $617,000, because demand for "forever" family homes in established neighbourhoods stays steady regardless of the cycle. That's why a well-presented detached home in a sought-after pocket like Old North, Byron, or near Masonville can still draw quick, competitive attention even in a buyer's market.
The condo apartment segment, by contrast, has softened the most year-over-year, benchmarking near $322,000. Some of that reflects investor caution and a larger share of supply relative to demand at the entry level. For a first-time buyer or a downsizer, that softness can actually be an opportunity — more choice and more negotiating room in exactly the price band where affordability matters most. Townhomes, benchmarking around $453,000, sit in between and remain a popular middle path for buyers priced out of detached but wanting more space than a condo.
The practical lesson: don't make decisions off the headline average alone. What's happening to the specific property type, price band, and neighbourhood you care about can differ meaningfully from the city-wide figure. When I advise a client, I'm always looking at the comparable sales for their exact segment, not the broad number that makes the news. If you want the most current month's data broken down, our market reports update the moment LSTAR releases the figures.
What does the summer 2026 London market mean for me?
If you're buying: this is one of the more buyer-friendly windows London has offered in years. You have selection, time, and negotiating room. Get pre-approved, know your number, and be ready to act decisively on the right home — because good listings still go. Our guide to buying a home in London Ontario is a good starting point.
If you're selling: pricing and presentation are everything in this market. Homes priced to today's reality and shown well are still selling in a reasonable timeframe; homes priced to last cycle are sitting. A realistic home evaluation before you list is the single most valuable step you can take.
Frequently Asked Questions
What is the average house price in London Ontario in 2026?
The average sale price across the London and St. Thomas market was about $627,000 in spring 2026, up modestly month-over-month but roughly 2.5% below a year earlier. The MLS HPI benchmark, which tracks a typical home, sat near $563,000.
Is London Ontario a buyer's or seller's market right now?
London is in buyer's market territory in 2026, with around 5.9 months of inventory and a sales-to-new-listings ratio near 39%. Generally, a ratio below 40% and four or more months of inventory favour buyers, meaning more selection and more negotiating room.
Are home prices going up or down in London Ontario?
Prices have been broadly flat to slightly down over the past year, with the average price about 2.5% lower than the prior spring. Recent months have shown small month-over-month gains and the first positive year-over-year sales increase in a while, suggesting the market is stabilizing rather than falling sharply.
How long are homes taking to sell in London Ontario?
Well-priced homes in good condition are still selling within a few weeks, with median days on market in the area recently around four weeks. Overpriced or as-is properties are sitting noticeably longer, which is typical of a balanced-to-buyer's market.
Will interest rates affect the London market this summer?
The Bank of Canada has held its policy rate at 2.25% since late 2025, keeping borrowing costs stable for now. Steady rates tend to support steady buyer demand. Any future move would influence affordability, so buyers and sellers should watch the Bank's scheduled announcements with their lender.
LOCAL MARKET INTEL
Want my read on your situation?
Numbers are only useful when they're applied to your home, your neighbourhood and your timeline. Reach out and I'll give you a straight, data-backed read — no spin.
Eric Cassidy
London Ontario Real Estate Agent — Cassidy & Co.
Eric tracks the London and St. Thomas market month by month and publishes a plain-English read for local buyers and sellers. His goal is simple: help people make confident decisions based on what the data actually says. Learn more about Eric and the team.
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