December didn’t just close out 2025 — it underlined just how historic the year was for the GTA’s new home market.
According to the Building Industry and Land Development Association (BILD), December sales capped off the worst year on record for new home sales in the GTA, raising alarms about future housing supply, job losses, and the region’s broader economic health.
December saw only 240 new home sales, a figure down 24% from December 2024 and 82% below the 10-year average, based on data from Altus Group, BILD's official source of new-home market intelligence. For context, a typical December would see roughly 1,327 sales. Even more striking: December 2024 had already set a record low, meaning this year’s numbers were measured against an already unusually weak benchmark.
“Never in the 45 years that new home sales data have been collected for the GTA have we seen just 5,300 sales for an entire year,” said Edward Jegg, Research Manager at Altus Group. Indeed, total sales for 2025 came in at 5,314: officially the lowest annual total on record.
Condo apartments were hit hardest. Just 87 units sold in December — down 42% year-over-year and 91% below the 10-year average. Single-family homes posted 153 sales, down 8% from last December and 59% below the long-term norm.
For the year, single-family sales totalled 3,247 (down 63% from the 10-year average), while condo apartment sales reached 2,067, an 89% shortfall.
Looking ahead, Jegg projects the same forces that weighed on buyers last year are likely to persist. "2026 is likely to see geopolitical concerns linger, prices remain elevated and the Bank of Canada has indicated the cycle of interest rate cuts has ended – thus the main drivers of buyer hesitancy are expected to drag on well into the year," said Jegg.
Inventory is also piling up. Remaining new home inventory in the GTA stood at 20,849 units in December, representing 26 months of supply based on recent sales — the highest level recorded to date.
Industry leaders warn the slowdown carries serious economic consequences. “New home sales are down well into the double digits across the province, putting 100,000 jobs at risk in Ontario alone,” said BILD COO Justin Sherwood.
"To find a comparable collapse in new home construction, you would probably have to look back to the 1940s," he continued. "New home construction is a cornerstone of our economy, yet it has effectively stalled. Now is the time to eliminate the HST on all new homes to lower the cost of housing and get buyers back into the market and the industry back to work.”
Prices, meanwhile, appear to be holding. The benchmark price for new condominium apartments sat at $1,021,235 in December, while new single-family homes averaged $1,409,725, down 9% over the past year.
Taken together, the message from December’s data is clear: the GTA’s new home market didn’t just stumble in 2025 — it stalled out entirely.
