Market Intelligence

Market Insights & Analysis

Expert analysis and insights from our AACI-designated professionals on Southwestern Ontario's real estate markets.

Market Intelligence • May 2025

Southwestern Ontario Market Report

While the GTA experiences significant corrections, London, Guelph, and Windsor offer unique opportunities for buyers, sellers, and investors seeking value and growth potential.

Current Market Snapshot - May 2025

Market Average Price Annual Change Days on Market Market Type Best For
London $443,238 Stable 13 days Balanced First-time buyers, families
Guelph $806,432 Growing 25 days Seller-favorable Move-up buyers, professionals
Windsor $257,954 +14.4% 19 days Seller's market Investors, affordability seekers

Why These Markets Matter

While Ontario's overall market shows 20% fewer sales than last year, our three focus markets demonstrate resilience through strong fundamentals, strategic locations, and diverse economic drivers that support long-term growth.

Key Market Trends Shaping 2025-2026

Critical insights and opportunities across Southwestern Ontario's real estate landscape.

Interest Rates & Financing

Current mortgage rates at 3.89% represent significant improvement from peak levels. New programs benefit our markets.

• 30-year amortization for first-time buyers
• Insurance limits increased to $1.5M
• Improved financing accessibility

Buyer Behavior Shift

Instead of rushing to buy, today's buyers are taking time to research and negotiate. This creates opportunities for well-prepared buyers.

• Less competition, more choices
• Year-round opportunities
• More predictable conditions

What Buyers Want Now

Buyer preferences have evolved significantly, with energy efficiency and flexible living spaces in high demand.

• Energy efficiency features
• Home offices & flexible spaces
• Multi-generational features

Individual Market Analysis

Detailed insights into each market's unique opportunities and growth drivers.

London: The Balanced Choice

At $443,238 average, London offers the sweet spot between affordability and amenities. Properties sell quickly (13 days average) but without the bidding war pressure of peak market years.

Growth Drivers:

Population Boom: 56.7% growth projected over 25 years
University Town: Stable demand from education sector
Healthcare Hub: Major hospital developments driving job growth
GTA Alternative: Remote workers seeking affordability

Best Opportunities: First-time buyers benefit from improved inventory and balanced conditions. Investors can find rental properties with strong student and professional tenant demand.

Stable
Market Conditions
13 Days
Average Days on Market

Guelph: The Premium Play

At $806,432 average, Guelph attracts buyers seeking quality over quantity. The 25-day average selling time reflects a market where motivated buyers and sellers transact at premium levels.

Competitive Advantages:

Strategic Location: Close to Toronto and Waterloo tech corridor
Quality of Life: Consistently rated among Canada's best places to live
Supply Constraints: Limited development land supports price stability
Strong Economy: Diverse employment base and low unemployment

Best Opportunities: Move-up buyers from the GTA find exceptional value. Properties with modern amenities and sustainability features command significant premiums.

Growing
Market Trend
25 Days
Average Days on Market

Windsor: The Growth Story

With 14.4% annual growth and rapid 19-day sales, Windsor combines affordability ($257,954 average) with significant infrastructure investment and economic development.

Growth Catalysts:

Gordie Howe Bridge: Transforming cross-border commerce
Manufacturing Renaissance: Auto sector investments creating jobs
Affordability Leader: Best value in Southwestern Ontario
Cross-Border Benefits: Proximity to Detroit market opportunities

Best Opportunities: Investors seeking appreciation potential and strong rental yields. First-time buyers can access homeownership at entry-level price points.

+14.4%
Annual Growth
19 Days
Average Days on Market

Why Southwestern Ontario vs. GTA?

Factor GTA London/Guelph/Windsor
Average Price $1,107,463 $257k - $806k
Annual Change -4.2% +14% to Stable
Days on Market 33 days 13-25 days
Market Conditions Buyer's market Balanced to Seller's

Long-Term Outlook & Investment Analysis

Professional insights and projections from our AACI-designated appraisers.

Population Growth Supporting Demand

41%

Southwestern Ontario expects 41% population growth by 2051, with London leading at 56.7% growth. This demographic foundation supports sustained housing demand despite short-term market fluctuations.

London - Rental Investment Hub

Strong university and hospital employment creates consistent rental demand. Properties near campuses and medical facilities show strong returns.

Guelph - Appreciation Play

Limited supply and strong demand fundamentals support continued value growth. Premium properties in established neighborhoods show best potential.

Windsor - Value and Growth

Lowest entry costs combined with infrastructure development create ideal conditions for both rental income and appreciation.

Economic Development Drivers

🏥

London

Healthcare expansion, university growth, tech sector development

🏭

Guelph

Manufacturing, agriculture technology, proximity to innovation corridors

🚗

Windsor

Automotive renaissance, cross-border commerce, infrastructure investment

"
Balanced conditions across our markets create opportunities for both buyers and sellers, but strategies differ by market and property type. Current market timing represents a unique window where well-informed decisions can yield significant long-term benefits.
Senior Market Analyst
AACI, P.App

Need Expert Market Analysis?

Our AACI-designated professionals provide detailed market analysis and valuation insights to support your real estate decisions.