Investors and end users faced fresh price pain as GTA condo sales retreated
Toronto’s condo correction tightened its grip in January, with new data revealing another sharp slide in both sales and prices across the Greater Toronto Area’s apartment segment.
Toronto Regional Real Estate Board (TRREB) figures for the month showed condo apartment sales in the City of Toronto (416) at 568 transactions, while the surrounding 905 region recorded 288 deals, for a total of 856 sales.
Average prices fell to $631,932 in the 416 and $551,166 in the 905, bringing the GTA-wide condo average to $604,759. That's almost 10% lower than a year earlier and well below the highs of the pandemic boom.
Across all home types, GTA sales dropped to 3,082 in January, down 19.3% year over year, with the overall average price slipping to $973,289 as elevated listings kept buyers in control of negotiations.
Fresh TRREB data shows GTA home sales down 19.3% year over year in January, with average prices slipping 6.5% to $973,289 and condo transactions plunging 26%. https://t.co/jOxfW7y9Fv
— Canadian Mortgage Professional Magazine (@CMPmagazine) February 5, 2026
The latest figures followed a bruising 2025 for the segment. TRREB data found condo apartment sales last year totaled 16,425, down roughly 14.7% from 2024, while the average price fell about 5.1% to $667,235.
Moreover, the Building Industry and Land Development Association (BILD) said just 165 new condos were sold across the entire GTA in November, lower than the 10-year average by an eyewatering 92% and a 40% plunge compared with the same time last year.
While some argued that cheaper units could help a few new buyers step into the condo market, expectations of a quick turnaround remains low for the thousands of small apartments now on the block.
“We don’t see a quick turnaround on that front,” Doug Porter (pictured below), chief economist of Bank of Montreal (BMO), told Canadian Mortgage Professional. “That’s probably the last area that will turn just because of the amount of supply that’s now hitting the market.
"By January, many investors were no longer asking how much their unit might appreciate – they were asking how long they could carry a negative cash-flow property," a Toronto wealth adviser who works with small landlords said. "Some were pivoting to hold longer term and ride out the cycle; others were looking at selling into a weak market simply to clean up their balance sheets."
“Population growth… is now starting to slow very rapidly, so rents are coming down – at least, market rents. So I suspect that the condo market will remain a challenge through [2026].”
Meanwhile, in November, a Leger survey commissioned by Rates.ca showed that 35% of Canadians say condos are no longer a good investment, although Canadians under 35 are likelier to consider purchasing one than over-35s.
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