GTA new home sales haven't been this low since the 1990s, report says

New home sales in the Greater Toronto Area have fallen to levels not seen since the early 1990s, according to a new report, prompting urgent calls for government intervention from the region’s building industry association.

The Altus report, published for the Building Industry and Land Development Association (BILD), showed that July sales reached just 359 units, down 48% from the same month last year and 82% below the 10-year average. Typically, the GTA records about 1,941 new home sales in July based on historical data.

“GTA new home sales in July 2025 extended the severe slowdown the market is currently in the midst of with another record low for the month,” said Edward Jegg, research manager at Altus Group, BILD’s official source for market intelligence. “The protracted nature of this market has now surpassed the severe downturn in new home sales during the early 1990s.”

The downturn cut across all housing categories. Condominium apartment sales—including low, medium and high-rise buildings as well as stacked townhouses—dropped to 150 units, down 51% from July 2024 and 89% below the decade average. Single-family homes, encompassing detached, linked and semi-detached houses along with townhouses, recorded 209 sales, a 44% year-over-year decline and 60% below typical levels.

Market conditions have produced an unprecedented inventory buildup. Total remaining inventory reached 22,654 units, including 16,670 condominium apartments and 5,984 single-family dwellings. This represents 20 months of supply based on recent sales patterns—the highest level recorded to date.

Despite the sharp drop in sales, prices have remained relatively stable. New condominium apartments posted a benchmark price of $1,029,527, showing little change over the past 12 months. Single-family homes averaged $1,488,940, a 6.1% annual decline.

The slowdown has also extended beyond the GTA. In Simcoe County, which BILD has newly begun tracking, just one condominium and 28 single-family homes sold in July. Single-family dwellings averaged $1,114,077.

“What more evidence is needed to demonstrate that we need concerted action to address the crisis that is stalling out new supply and compounding the challenges in the GTA housing market?” said Justin Sherwood, BILD’s senior vice-president of communications, research and stakeholder relations.

Sherwood warned against repeating history, noting that the 1990s downturn required years to recover and caused prolonged unemployment in the construction sector.

“The market, leaders within the industry and top economists are flashing every possible warning light,” Sherwood said. “To avoid repeating history, government intervention is not optional—it is urgently due.”

BILD represents more than 1,000 member companies in the homebuilding and land development industries, supporting 256,000 regional jobs and $39.3 billion in investment value.

CMP

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