Condo sales in GTHA at a 30-year low

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Current condo market in Toronto is working through its most challenging period to date, says Urbanation

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The Greater Toronto Hamilton Area (GTHA) new condo apartment market reported a total of 533 sales in first quarter of 2025, its lowest quarterly total since 1995, and the 215 new condo sales in the City of Toronto in Q1 fell to its lowest level since 1990, reports Urbanation Inc., a source of market analysis on the condo market.

Only two projects were launched for presales in first quarter totaling 275 units. Since the beginning of 2024, 28 presale projects totaling 5,734 units were either put on hold, cancelled, placed in receivership, or converted to purpose-built rental, including four projects totaling 1,042 units in first quarter 2025.

“The new condo market is currently working through its most challenging period to date, which has become further impacted by the uncertainty and cost escalations caused by the trade conflict with the U.S. With the Toronto region relying on condos for more than one-half of its total housing development, the magnitude of this slowdown will result in severe supply repercussions,” says Shaun Hildebrand, president of Urbanation.

Unsold new condominium inventory totaled 23,918 units, increasing 6% from a year ago and 58% higher than the 10-year average. Unsold inventory was equal to 78 months of supply based on the pace of sales averaged over the last 12 months, a record-high that was approximately seven times greater than a balanced level of 10-12 months of supply.

Unsold inventory was made of up 10,934 unsold units in pre-construction projects, 11,073 unsold units in under construction projects, and 1,911 unsold units of standing inventory in completed projects.

The number of completed and unsold units more than doubled compared to a year ago to reach its highest level since 1993. Completed and unsold inventory is expected to continue rising this year as an additional 2,411 unsold units are currently scheduled to be completed by the end of 2025. 

Of the new condo sales that occurred in first quarter, selling prices averaged $1,151 per square foot,  down 7% from a year ago when units were selling for an average of $1,232 per square foot..

Furthermore, of the projects generating sales activity, incentives were heavily employed, including significant cash back credits at closing, rental guarantees, and extended deposit payment schedules, Urbanation reports.