The Greater Toronto and Hamilton Area’s new condo market just hit a serious low, with only 502 units sold in the second quarter of 2025—a staggering 69% drop from the same time last year, and a 91% plunge compared to the 10-year average.

That’s according to Urbanation’s latest report, which paints a stark picture of a market deep in decline. “The market has entered a phase of the downturn that is really starting to wreak havoc,” said Urbanation President Shaun Hildebrand. “Project cancellations are mounting, construction starts are collapsing, jobs are being lost, buyers are losing a lot of money, and developers are facing difficulties with closings.”

This slump isn’t new—but it’s getting worse. A recent Royal LePage report echoed the trend, revealing the median GTHA condo price has fallen 5.6% year-over-year to $699,700. Detached homes haven’t been immune either, with a 1.2% dip bringing the median to $1,448,700.

Four proposed condo buildings were cancelled in Q2 alone, bringing the 2024 total to 21 scrapped projects—wiping out 4,412 planned housing units. And developers are pulling back hard on launching anything new: just three projects began presales last quarter, totalling fewer than 900 units.

At the same time, inventory is surging. The region hit a record-high 2,478 completed condo units available for purchase in Q2—more than double the number from a year ago and five times higher than in 2023. But sales in those completed projects? Just 131 units sold, leaving a massive 60 months of supply sitting on the market.

Prices are also falling fast. Urbanation notes a 6% decline in price per square foot from last year and a 16% drop compared to two years ago.

While a slowdown in new completions may eventually ease pressure on the market, Hildebrand warns the near future will remain difficult. For developers, buyers, and anyone invested in the condo sector, the next several quarters are likely to be a bumpy ride.