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Toronto's 40-Year Low
Three provinces defy the downturn, incoming mortgage shock, and Canada's immigration whiplash hits home
Today, we’re covering
📉 Toronto Developers Just Had Their Worst Year in 40+ Years
🏗️ Canada Builds More, Toronto Builds Less
🏠 Canada’s Rental Market Is Cracking
🎓 Ontario Universities Ask Ford for Billions
😲 WTF of The Week
Read Time: 5 minutes
📉 Toronto Developers Just Had Their Worst Year in 40+ Years
Source: Better Dwelling
The 411: Greater Toronto’s new-home market just closed out its weakest year on record. Despite prices falling sharply from peak, homes remain out of reach for end-users, leaving developers stuck with record-low sales and elevated inventory heading into 2026.
New-home prices in the GTA are down as much as 25% from peak, yet still sit near 2021 levels
New condo prices slipped 18% from peak, but are still around 2024 pricing
Developers sold just 5,314 new homes in 2025, the worst year since records began in 1981
December sales hit only 240 units, the weakest December in 30 years
Condo sales plunged 42% YoY, despite being the more “affordable” option
Inventory remains elevated at 20,800+ units, the 2nd-highest December level in 9 years
Why This Matters: Prices are still too high for buyers, while construction and financing costs are too high for developers to cut meaningfully. That leaves new housing stuck in limbo, with weak demand at the top end likely to spill over into broader price pressure. Until incomes rise or costs fall, Toronto’s new-build market looks set to remain frozen well into 2026.
