January 8, 2026:

Market Update Dec 29 - Jan 4: 2026 Is Off to a Strong Start

As 2026 begins, the Simcoe County real estate market is doing exactly what we expect during the holiday season: slowing temporarily, not weakening.

Between December 29 and January 4, 39 homes sold across Simcoe County, down from 52 the week prior. This decline lines up with the annual slowdown caused by Christmas and New Year’s, when fewer buyers and sellers are actively transacting. Importantly, this drop was not driven by reduced demand—it was driven by timing.

What stands out most is pricing strength. The average sale price jumped to $813,051, up nearly $84,000 week over week, representing an increase of more than 11%. Even with fewer transactions, buyers continued to compete for well-priced homes, reinforcing that serious demand remains active beneath the surface.

New listings also rebounded meaningfully. After a holiday-shortened week that saw just 56 new listings, 128 homes came to market, more than doubling week over week. At the same time, total active listings declined from 3,745 to 3,232, a drop of over 500 homes, signaling that many sellers are holding back inventory as they prepare for a January or early-spring launch.

Market balance remains tilted toward a slower pace, with months of inventory sitting at 9.1 months, slightly improved from the previous week but still elevated for this time of year. Days on market increased to 68 days, up from 49, reflecting the typical holiday slowdown rather than a shift in buyer sentiment. Homes are taking longer to sell—but when they’re priced and positioned well, they’re still moving.

The list-to-sale price ratio softened slightly to 93%, down from 96%, reinforcing the importance of accurate pricing. Buyers are active, but they are value-driven and selective—a trend expected to continue into 2026.

Why This Is a Positive Signal for 2026

Taken together, these numbers point to a market that is paused, not pressured. Pricing resilience, tightening active inventory, and returning listing activity are all early signs of improving momentum as we move deeper into January.

Historically, activity begins to normalize by mid-January as post-holiday listings hit the market and buyers refocus on their plans for the year ahead. This transition period often creates opportunity for those who act before competition increases.

What This Means If You’re Buying in 2026

For buyers, early January can be one of the most strategic times to enter the market. With fewer active buyers competing right now and sellers becoming more motivated ahead of peak season, there is often more room to negotiate than later in the spring.

Next steps for buyers: Start by securing a strong pre-approval so you can move quickly as inventory improves. Pay close attention to homes that have been on the market longer or have recently adjusted their price—these often represent the best value. Most importantly, begin tracking neighbourhood trends now so you’re positioned ahead of the spring rush.

What This Means If You’re Selling in 2026

For sellers, 2026 will reward preparation and strategy more than speed alone. While buyers are active, they are discerning, and pricing correctly from the start matters more than ever.

Next steps for sellers: Use the early weeks of January to prepare your home properly—staging, photography, and pricing strategy all play a major role in outcomes. Understanding current inventory and buyer expectations before listing can help you launch with confidence and avoid unnecessary time on market.

The Bottom Line

This early-January snapshot reflects a market in transition, not decline. Sales slowed as expected, pricing remained strong, and inventory is tightening—setting the stage for renewed momentum as 2026 unfolds.

Curious how these trends may be influencing the value of your home—or whether now might be a smart time to prepare for the new year—this is a great moment to get clarity. You can request a free, no-obligation home evaluation to see where your property stands in today’s shifting market.

👉 Book your complimentary home consultation below