London Housing Market Report
- Average home prices in London, Ontario, have increased by 0.3% over the past month to $656,432 for May 2025, which is 0.6% lower than in May 2024.
- The benchmark price of a home in London-St. Thomas for May 2025 was $593,900, 2.2% lower than last May and 0.8% higher than last month.
- Single-family average price decreased by 0.1% year-over-year to $709k.
- Townhouse average price decreased by 3.3% year-over-year to $523k.
- Apartment average price increased by 1% year-over-year to $403k.
- July 3, 2025 Update: Today’s Lowest mortgage rates in London is 3.89% for 3-Year Fixed.
London-St. Thomas Housing Market Overview
London-St. Thomas Housing Market: Price Movements for May 2025
Benchmark Home Price | $593,900 | +0.8% 1-Month Change | -2.2% 1-Year Change |
Average Home Price | $656,432 | +0.3% 1-Month Change | -0.6% 1-Year Change |
Median Home Price | $610,000 | +0.8% 1-Month Change | -0.8% 1-Year Change |
Home Prices
Home Prices
In May 2025, the average home price in the London-St. Thomas's housing market was $656,432, reflecting a 0.3% month-over-month increase and a 0.6% year-over-year decline.
The London area's housing market is still in a bear market, with the average home price being over 20% lower than the peak of February 2022, when it reached $825,221. In fact, based on the average price, London’s housing market has been a bear market for 26 of the last 33 months.
Housing markets include some very expensive luxury properties and some very cheap properties, the sale of which can skew the average. The median price often gives a more accurate perspective of the market prices by discounting such outliers. The median price of $610,000 in May 2025 decreased by 0.8% from May last year and increased by 0.8% from last month. The median represents an increase of 43.5% from five years ago and a decrease of 12.2% from three years ago, which means that home prices increased significantly between May 2020 and May 2022 before they started falling.
Meanwhile, the benchmark home price, which is the price of a typical home in London-St. Thomas, was $593,900, decreasing by 2.2% year over year and increasing by 0.8% month-over-month.
Regional Comparison
Looking specifically at the City of London, Ontario, in May 2025, the median home price was $605,000, reflecting a 1.6% decrease in a year. A total of 474 homes were sold in the City of London, Ontario, in May 2025, 10.6% less than in May 2024.
St. Thomas's median price was $553,000 in May 2025, an increase of 1.3% from last May. 59 homes were sold in May 2025, which is 30% lower than last May.
Meanwhile, looking at other smaller regions in the market, Elgin had a median price of $641,000, Middlesex had a median price of $748,450, and Strathroy-Caradoc had a median price of $632,500. The smaller markets have very few sales and thus experience much greater variation in median home prices on a monthly and annual basis.
Sales, New Listings and Inventory
The London and St. Thomas housing market had 722 sales in the month, representing 6.7% lower sales than in May 2024, which signifies a notable dip. The sales were also 10.6% higher than in April 2025. On the other hand, 1,999 new listings came onto the market in May 2025, 27.9% more than the new listings in May 2024 and 31% more than last month.
The sales-to-new-listings ratio (SNLR) for London and St. Thomas in May 2025 was 36%, dipping significantly from last month’s 43%, and pushing the market into the buyer’s market zone. An SNLR below 40% generally indicates a buyer’s market, where buyers benefit from greater choice, more time to make decisions, and stronger negotiating power. Meanwhile, an SNLR between 40% and 60% usually indicates balanced market conditions, meaning the market neither favours the sellers nor the buyers.
Throughout 2024, London’s housing market remained balanced based on the SNLR, except in June, September, and December. Meanwhile, this year, the market was a buyer’s market in January, and was balanced from February to April.
At the end of May 2025, there were 3,253 active listings, reflecting a 26.5% increase in inventory over the past year.
Additional Ratios
The sale-to-list price ratio measures a home's average sale price compared to its average listing price. In May 2025, the sale-to-list price ratio for London-St. Thomas was 98%, indicating that houses are selling about 2% below the asking price. The ratio has mostly been under 100% following the 2022 peak. In comparison, when home prices in London were near peak in May 2022, the sale-to-list price ratio was 119.9%.
At the end of May 2025, there were 4.5 months of inventory, significantly higher than the 1.9 months observed at the end of May 2022.
Property Types
Breaking down the London and St. Thomas real estate market into property categories, 551 single-family homes were sold in May 2025, along with 89 townhouses and 57 apartments.
The median selling price of a single-family home in the London and St. Thomas area was $649,900 in May 2025, remaining unchanged year over year. The average price was $709,208, down by 0.1% year-over-year.
The median selling price of townhouses in London-St. Thomas was $536,000, up by 1.2% year-over-year. The average price of townhouses declined by 3.3% year-over-year to $522,525.
Apartments had a median selling price of $345,000 in May 2025, up by 4.5% from last year. The average price was $403,416, 1% higher than May 2024.
Due to the fewer sales of townhouses and apartments, their average and median prices fluctuate more month over month and year over year.
Reasoning
After peaking during the pandemic, home prices in the London-St. Thomas housing market fell sharply when mortgage rates rose in 2022, negatively impacting mortgage affordability. Since then, the market has experienced periods of surge and dip in demand, causing home prices to fluctuate as well. However, for the better part of the past three years, average home prices have remained more than 20% lower than the peak.
Since June 2024, the Bank of Canada has cut its policy rate seven times, with mortgage rate forecasts suggesting some more reductions in the coming months. A decline in mortgage rates has improved affordability, which would typically boost demand in London’s housing market. However, ongoing uncertainty around U.S. tariffs is causing many potential buyers to hold off. Additionally, some are waiting in anticipation of further rate cuts before entering the market.
Comparison
Even though London's home prices have seen considerable gains over the past ten years (a 136% increase in average price), the homes in London’s housing market are still affordable compared to some other Canadian housing markets. Toronto’s housing market is a two-hour drive away, with average home prices over $1 million. Other housing markets in Ontario, such as the Brampton housing market and the Mississauga housing market, also feature average home prices around the $1 million mark. Comparable Ontario cities to London include the real estate market in Hamilton and Ottawa’s relatively affordable housing market.
Home Prices in London
London-St. Thomas Area Housing Market Statistics for All Property Types in May 2025
Average Sold Price and MLS HPI Benchmark Price
Transactions and New Listings
Market Overview for Detached Homes in May 2025
Average Sold Price
New Listings
Market Overview for Townhouses in May 2025
Average Sold Price
New Listings
Market Overview for Condo Apartments in May 2025
Average Sold Price
New Listings
London-St. Thomas Breakdown by Region for May 2025
Glossary and Definitions
MLS® HPI: The MLS® Home Price Index (HPI) is an index by the Canadian Real Estate Association (CREA) that tracks the prices of homes in a neighborhood. It allows Canadians to quickly compare home prices across Canada and between periods of time without having to account for specific features of a property. Unlike market prices, which can fluctuate from month to month based on seasonal dynamics, the HPI provides a stable view tracks trends across a longer period of time. The HPI is reviewed every year in May to adjust for changes in the real estate marketplace.
MLS® HPI Benchmark Price: The MLS® Home Price Index (HPI) Benchmark Price is the HPI translated into a real-world price number.
Strata Insurance: Strata insurance is insurance used by a strata like a condominium to covers damages to common areas and assets and liability to the strata. It can also include fixtures built or installed as part of the original construction of each unit, even though these may not be common structures. The insurance can cover:
- Buildings and structures associated with the strata including common areas such as the roof, parking garages, driveways, gyms, pools, etc.
- Liability for any property damage or bodily injury suffered on strata property
- Any fixtures that are part of the "standard unit" or original construction of each unit
Strata insurance does not usually include personal items and appliances that are part of a condo unit. It also does not cover the damages made by individual unit owners, such as in the case of water damage caused by a unit owner. These are usually covered by personal condo insurance.
Property types
Detached home: A detached home is your standard single-family home. It is a residential building that stands alone and is separately titled or legally a single unit.
Semi-detached home: A semi-detached home is similar to a detached home, except it shares a wall with another home. This pair of homes must make up an independent building and each should be separately titled or legally two separate units. There can only be two homes in a semi-detached building.
Townhouses: A townhouse is the middle between a detached/semi-detached home and a condo apartment. Like detached and semi-detached homes, they are often single-family units that have their own land and may be attached to other units. However, like condo apartments, they typically have to pay co-ownership fees for maintenance and may share some common features with their neighbors.
Condo apartment: This category includes all apartments and condominiums. These are complexes of residential units with common areas such as hallways, parking lots, stairwells, etc. They can be low-rise, mid-rise, or high-rise buildings. Unlike townhouses, there are no parts of the lot (the land of the building) where access is reserved for only one owner or occupant. There can be privately owned units and spaces inside the building.
Plexes are multi-story buildings with two to four individual units, usually one on each floor. They are a mainstay in Montreal and other cities in Quebec. Each unit is usually individually accessible via an external entrance with higher floors connected by staircases.
Property Classes
Freeholds: A freehold is any property where the owner owns both the house and the land it is built on. Common freehold property types include: detached, semi-detached, some townhouses, and farmland.
Condominiums: A condominium or condo is any property where the owner owns the home (or unit) but shares ownership of the land and other improvements with a condominium corporation. Common condominium property types include condo apartments and some townhouses.
Leasehold: Leasehold describes the situation where different entities own the land and the structure built on the land. Owner of the buildings has leased the land and pay rent to their landlord while owning the building on the land.
Housing Markets Across Canada
Data sourced from the LSTAR and the Canadian Real Estate Association (CREA). Any analysis or commentary is the opinion of the analysts at WOWA.ca and should not be construed as investment advice. Please consult a licensed real estate professional before making a real estate investment decision. The trademarks MLS®, Multiple Listing Service® and the associated logos are owned by The Canadian Real Estate Association (CREA) and identify the quality of services provided by real estate professionals who are members of CREA.
Disclaimer:
- Any analysis or commentary reflects the opinions of WOWA.ca analysts and should not be considered financial advice. Please consult a licensed professional before making any decisions.
- The calculators and content on this page are for general information only. WOWA does not guarantee the accuracy and is not responsible for any consequences of using the calculator.
- Financial institutions and brokerages may compensate us for connecting customers to them through payments for advertisements, clicks, and leads.
- Interest rates are sourced from financial institutions' websites or provided to us directly. Real estate data is sourced from the Canadian Real Estate Association (CREA) and regional boards' websites and documents.
- The trademarks MLS®, Multiple Listing Service®, and associated logos are owned by CREA and identify services provided by its members.