The Deepest Buyer's Market in a Decade — Are You Taking Advantage?
February 2026 is the most buyer-favourable month this London Ontario market has seen in years. With HPI benchmarks down 8.7–9.5% year-over-year, 2,421 active listings, and a sales-to-new-listings ratio of just 38.9%, the data makes a compelling case for buyers who are ready to move.
February 2026 at a Glance
February 2026 delivered the most buyer-favourable conditions this London Ontario market has seen in years. Just 410 homes sold — down 18.7% year-over-year — while active listings climbed to 2,421, a 13.0% increase from February 2025. The result is 5.9 months of inventory and a sales-to-new-listings ratio of 38.9%, well below the 40–60% range that defines a balanced market.
For context, February 2025 saw a 47.9% SNLR. One year later, that ratio has dropped nearly 9 percentage points — a sharp and meaningful shift in market power toward buyers.
"The sales-to-new-listings ratio dropped from 47.9% to 38.9% in just one year. HPI benchmarks are down 8.7–9.5% year-over-year. February 2026 is a generational buying opportunity in London Ontario."
Ryan Hodge & Sandra Tavares · The Realty Firm Inc. BrokerageHPI Benchmark Prices — The Number That Matters
The HPI (Home Price Index) benchmark is the most reliable pricing metric available — it measures the price of a typical home and is not distorted by high-value outliers or distressed sales. In February 2026, benchmark prices are down 8.7–9.5% year-over-year across all property types — with single-family homes approaching a full 10% decline.
| Property Type | HPI Benchmark | Year-Over-Year |
|---|---|---|
| Composite (All Types) | $561,600 | ▼ 8.7% |
| Single-Family Detached | $617,000 | ▼ 9.5% |
| Townhouse / Row | $450,400 | ▼ 9.0% |
The average sale price of $622,414 is down 3.5% year-over-year, while the median of $572,500 dropped 4.3% — notable because even the median is now moving lower, indicating price softness is spreading through the mid-market, not just the upper end. The sale-to-list ratio of 97.4% confirms buyers are successfully negotiating roughly 2.6% below asking price on average.
2,421 Active Listings — Buyers Have Options
New listings came in at 1,055 — essentially flat year-over-year (+0.2%) — meaning sellers are still coming to market at the same pace as last February. But with sales down 18.7%, inventory continues to accumulate. Active listings of 2,421 represent a 13.0% increase from February 2025, giving buyers significantly more choice than a year ago.
At 5.9 months of inventory, the market sits just below the 6.0 official buyer's market threshold — but with an SNLR of 38.9%, well below the balanced range of 40–60%, the market is functionally operating as a buyer's market regardless of which side of the 6.0 line it lands on.
Median days on market came in at 28 days — a meaningful improvement from January's 47-day reading. This suggests some seasonal demand returning as February progresses, though buyers still have time to make considered, strategic decisions in most price bands.
Buyers and Sellers: How to Navigate February's Market
A Generational Window — Use It Strategically
- HPI down 8.7–9.5% YoY — you're buying at a meaningful discount from year-ago values
- 2,421 active listings — more selection than buyers have had in years
- 97.4% sale-to-list ratio — negotiation is the norm, not the exception
- 28-day median DOM — the market has some pace, but you're not rushed
- Bungalows remain in tighter supply — move with more urgency in that category
- Motivated sellers are conceding — a well-researched offer has real leverage
410 Sales Happened — Prepared Sellers Are Winning
- 410 buyers transacted in February — motivated, well-priced sellers are getting deals done
- Your competition: 2,421 active listings — condition and presentation matter more than ever
- Median sold in 28 days — the market moves when pricing is sharp
- 97.4% sale-to-list — build your pricing strategy around an expected negotiation
- Sellers who overprice are sitting; sellers who price to the data are selling
- Spring typically brings more buyer activity — a well-prepared listing is ready for it
What the February 2026 Data Is Telling Us
February 2026 represents a continuation and deepening of the buyer-favourable conditions that have been building in London Ontario's market. With HPI benchmarks down 8.7–9.5% year-over-year, active listings up 13%, and sales down nearly 19%, the data consistently points in one direction: buyers are in control.
The 28-day median days on market — improved from January's 47 days — is worth monitoring as a leading indicator of demand. A tightening DOM heading into spring would signal that buyers are beginning to re-engage. Combined with the inventory level, this will determine whether the buyer's market deepens or begins to find a floor.
The bottom line for buyers: the combination of price reductions from peak, ample inventory, and a negotiable market is rare. For sellers, the playbook is clear — price correctly, present the home well, and lean on experience to position in a competitive field of 2,421 active listings.
This is a market that rewards preparation and punishes assumption, on both sides of the transaction.
Ryan and Sandra give you straight data, no spin — and a strategy built for the market as it actually is, not as it was.
Book a Consultation
Ryan Hodge & Sandra Tavares · The Realty Firm Inc. Brokerage
📞 519-601-1160 ·
✉ ryan@therealtyfirm.ca ·
🌐 www.ryanhodge.ca
734 Wellington Street, London, Ontario N6A 3S4
All market data sourced from LSTAR (London and St. Thomas Association of REALTORS®). Not intended as financial or investment advice.
