Toronto records worst year on record for new home sales in 2025

Toronto saw its lowest new home sales on record in 2025, totaling about 5,314 units, and industry groups warn the slump risks large job losses and reduced future construction; next steps by governments are undetermined at this time.

Toronto-area new home sales fell to their lowest level on record in 2025, and industry groups say the drop is affecting construction activity and the wider economy. The Building Industry and Land Development Association (BILD) described the situation as deeply concerning. Data cited by industry sources show sales totals well below long-term averages and rising inventory levels. Industry leaders and researchers are discussing possible policy responses, while no specific government actions have been scheduled. Key facts: - Total new home sales in the Greater Toronto Area for 2025 were about 5,314 units, the lowest since records began. - Remaining new-home inventory stood near 20,849 units, equal to roughly 26 months of supply versus a typical healthy range of nine to 12 months. - Urbanation reported a record number of condo project cancellations in 2025, totaling 7,243 units across 28 projects. - BILD and other industry representatives say up to about 100,000 jobs in Ontario could be at risk if the slump persists. Summary: The decline in new-home sales has increased inventory, reduced near-term construction prospects and raised job risk, while industry groups have urged policy measures such as reducing development charges and removing the HST on new homes. Undetermined at this time.