The real estate landscape in the Greater Toronto Area is shifting rapidly. Families are increasingly looking to upsize their homes, driven by evolving work patterns and changing lifestyle needs.
At The Halyard Group, we’ve observed several market trends that are reshaping the housing choices of growing families. From the rising demand for larger suburban properties to the growing importance of energy-efficient features, these shifts are redefining what families seek in their next home.
In this post, we’ll explore the key factors behind this upsizing trend and provide strategies to help you navigate the competitive real estate market in 2025.
What’s Driving GTA’s Real Estate Market in 2025?
The Greater Toronto Area’s real estate market in 2025 exhibits significant shifts, driven by changing family needs and lifestyle preferences. A surge in demand for larger homes, particularly in suburban areas, reflects families’ prioritization of space and functionality.
The Rise of Spacious Suburban Living
Suburban properties attract more families. The Greater Toronto Area (GTA) housing market experienced a transitionary year in 2024, with annual sales slightly up compared to 2023 and an increase in new listings. This trend stems from the desire for more living space, both indoors and outdoors.
Families seek homes with dedicated home offices, larger kitchens for family gatherings, and spacious backyards for recreational activities. The Toronto Real Estate Board notes that the average size of homes purchased by families has increased from 1,800 square feet in 2023 to 2,200 square feet in 2025.
Remote Work Reshapes Housing Choices
Remote work continues to influence housing preferences. According to Statistics Canada, employment rose by 91,000 (+0.4%) in December 2024, and the employment rate increased 0.2 percentage points to 60.8%. This shift has sparked an increase in demand for homes with dedicated office spaces or flexible rooms that can transform into workstations.
Multigenerational Living Gains Traction
Multigenerational living arrangements rise, influencing the types of homes families seek. This trend drives demand for homes with separate entrances, in-law suites, or properties with potential for additions.
Energy Efficiency and Smart Home Features Take Center Stage
Energy-efficient homes become a top priority for families. Smart home features also command high demand. Properties equipped with smart thermostats, security systems, and energy management tools attract more buyers and command higher prices.
Understanding these market dynamics proves essential for families looking to upsize. The combination of increased space requirements, remote work considerations, multigenerational living needs, and the desire for energy-efficient, smart homes reshapes the GTA’s real estate market in significant ways.
As we explore the key factors driving family upsizing decisions, it becomes clear that these market trends directly influence the choices families make when searching for their next home.
Why Families Are Upsizing in 2025
The decision to upsize stems from evolving family needs and lifestyle changes. In 2025, three main factors push families to seek larger homes in the Greater Toronto Area.
Home Offices: A Must-Have Feature
The shift to remote work has transformed dedicated home office spaces into essential features. This extends beyond a quiet corner for video calls. Families now seek separate rooms fully equipped for productivity, complete with proper lighting, soundproofing, and storage solutions.
Outdoor Living: More Than Just a Backyard
The desire for outdoor areas has intensified, with families prioritizing properties that offer private recreational facilities. A study by the Canadian Home Builders’ Association shows that 65% of families upsizing in 2025 prefer homes with large backyards, patios, or decks.
Size alone doesn’t suffice. Families now look for outdoor spaces usable year-round. Features such as covered patios with heating elements, outdoor kitchens, and even small pools have gained popularity.
Flexible Spaces: Adapting to Changing Family Dynamics
The concept of flexible living spaces has gained significant traction. Families now seek homes that adapt to their changing needs over time. This includes spaces that serve multiple purposes – a guest room that doubles as a home gym, or a playroom easily converted into a teenage retreat.
As families navigate these upsizing priorities, they often face challenges in a competitive real estate market. The next section explores effective strategies for successfully upsizing in such an environment, ensuring families can secure their ideal home without compromising on their must-have features.
How to Win in a Competitive Upsizing Market
The competitive real estate market demands a strategic approach for successful upsizing. This chapter outlines effective methods to secure your dream home while maximizing the value of your current property.
Boost Your Current Home’s Value
Focus on strategic renovations that offer high returns on investment before listing your property. Energy-efficient improvements (such as smart thermostats or energy-efficient appliances) can increase your home’s value by up to 3-5%.
Don’t neglect curb appeal. A well-maintained exterior can boost your home’s value by up to 7%. Simple updates like fresh paint, landscaping, and a new front door make a significant difference.
Master the Art of Presentation
Professional staging transforms your selling experience. Recent statistics show that 46% of 3,500 staged homes sold for 10% more than they would have as non-staged homes. Invest in professional photography and virtual tours. In 2020, 97% of homebuyers used the internet in their home search.
Create a compelling narrative about your home. Highlight unique features, recent upgrades, and the lifestyle your property offers. This storytelling approach creates an emotional connection with potential buyers, setting your listing apart in a crowded market.
Navigate Multiple Offer Situations
Multiple offer situations occur frequently in hot markets. Prepare to act quickly. Organize your finances, including a pre-approval letter from your lender. This shows sellers you’re a serious, qualified buyer.
Consider including an escalation clause in your offer. This automatically increases your bid up to a specified limit if other offers come in higher. Use this strategy cautiously and only if you’re comfortable with the maximum price.
Look beyond price. Sellers often consider other factors like flexible closing dates or fewer contingencies. Tailor your offer to the seller’s needs, which your real estate agent can help uncover.
Work with Experienced Professionals
The key to success lies in partnering with experienced professionals. The Halyard Group’s expertise in the Greater Toronto Area market provides tailored advice and support throughout your upsizing journey, ensuring you make informed decisions at every step.
Final Thoughts
The real estate market trends for families upsizing in 2025 reflect changing needs and preferences. Spacious suburban living, dedicated home offices, and flexible spaces for multigenerational living now top the list of priorities. Energy efficiency and smart home features also play a significant role in the decision-making process for families seeking larger homes.
A strategic approach proves essential when navigating the competitive real estate environment of 2025. Maximizing the value of your current home, leveraging professional staging, and crafting compelling offers can significantly impact your upsizing success. The complexity of the market underscores the importance of expert guidance throughout this significant life transition.
The Halyard Group specializes in helping families in the Greater Toronto Area upsize to homes that meet their evolving needs. Our personalized approach and in-depth knowledge of the GTA’s top upsizing neighbourhoods can support you throughout your upsizing journey.
Contact us today to start planning a seamless transition for your family as you embark on this exciting new chapter.
