Hello Everyone,
“Home sales grew steadily month over month with 776 homes changing hands via the Multiple Listing Service® (MLS®) of the London and St. Thomas Association of REALTORS® (LSTAR). That was up 8.8%, compared to May 2025, and an increase of 138 more units sold over the previous month.
“It’s an encouraging sign as we head into the summer season,” said Robin Tiller, LSTAR’s 2026 Chair. “Since the start of the year, we’ve consistently seen month-over-month gains in sales. Activity is right on par with the last five years.”
Average sales price took a healthy jump in May. It was $662,292, up from $618,665 in April. The London region saw noticeable month-over-month gains. In London South, the average sales price was $677,226, up from $626,840 the previous month, as well as London East, with an average price of $476,844, up from $450,793 in April.
“The sales-to-new listings ratio was 42.8%, up from 36% recorded in April,” Tiller said. “According to the Canadian Real Estate Association (CREA), a ratio between 45% and 65% indicates conditions of a balanced market. We also saw inventory levels beginning to stabilize in May, with 4.3 months of inventory, down from 5 months of inventory recorded in April.”
MARKET SNAPSHOT (May 2026) – London, Ontario
• Sales Activity: 527 homes sold
• New Listings: 1,278
• Active Listings: 2,158
• Average Price: $638,131
• Median Price: $575,000
• Months of Inventory: 4.1 months
• Median Days on Market: 22 days
• Sale-to-List Price Ratio: 97.7%
YEAR-TO-DATE TRENDS (2026 vs 2025)
• Sales: 2,746 homes sold, down 3.4% from 2025
• Average Price: $633,844, down 1.9% from 2025
• Inventory: 2,770 active listings on average, up 8.9% from 2025
Historical Perspective
The London market continues to operate in a more balanced, buyer-friendly environment than the highly competitive market experienced from 2020 through early 2022. Inventory levels remain substantially higher than they were during the peak pandemic market, with approximately 5.0 months of inventory across the London and St. Thomas region compared to just 0.6 months in May 2021.
Although inventory remains elevated, sales activity has improved steadily throughout 2026 and is now tracking very closely with the average pace experienced over the past five years.
What This Means
For Buyers
Buyers continue to benefit from increased selection, more negotiating opportunities, and additional time to complete due diligence. Financing and home inspection conditions remain common in many price ranges, creating opportunities for informed purchasing decisions.
For Sellers
Well-priced and well-presented homes continue to sell. However, buyers remain price sensitive and have significantly more options than they did just a few years ago. Strategic pricing, professional marketing, and strong presentation remain critical to achieving the best possible result.
The Bottom Line
In our local marketplace, approximately 24% of the available listing inventory is selling every 30 days. Another way of looking at it is that roughly 1 out of every 4 homes listed for sale is successfully selling each month.
The City of London currently has approximately 4.1 months of available inventory and 2,158 active residential listings. For comparison, the market had just 0.6 months of inventory in May 2021.
The market continues to favour buyers, but improving sales activity and stabilizing inventory levels suggest a healthier and more active market heading into the summer months.
If you would like a full statistical package please just send me a text or email and we will get it sent to you.
As always, if you have any questions about the market, your home’s value, or your future real estate plans, please feel free to reach out.
Have a wonderful day.
Always a pleasure,
Scott Gunn
Broker of Record
The Gunn Real Estate Group
