‘Rock bottom levels’: February new home sales in Greater Toronto Area hit record low: report

A new condo construction site is seen in downtown Toronto on Thursday, May 25, 2023. THE CANADIAN PRESS/Chris Young

Only 400 new homes and condos were sold in the Greater Toronto Area last month -- while nearly 22,000 units sat on the market untouched -- marking the worst February on record for the sector, according to a new report.

The Building Industry and Land Development Association (BILD) released its findings Thursday and said the sales, which included 152 condominium apartments and 248 single-family homes, mark a 50 per cent drop from last February. Compared to the 10-year average, those 400 sales represent a decline of nearly 85 per cent, it said.

“New home sales across the GTA in February 2025 remained at rock bottom levels,” said Edward Jegg, research manager at Altus Group, which collected the data, said in a news release. “Uncertainty related to upcoming U.S. tariff levels have further added to the reservations buyers previously had on their minds.”

The data shows that 16,995 new, and pre- and under-construction condos, as well as 4,868 single-family homes went unsold last month. However, the data also shows the prices for both types of properties dropped only slightly since the start of the year and by less than three per cent since 2024, with the benchmark price for a home sitting at $1,536,734 (down 2.9 per cent from 2024) and the price of a condo at $1,021,760 (down 2.4 per cent).

A breakdown of the home sales by region highlights most of the single-family homes sold last month were outside of Toronto, with only one sale happening inside the city. The opposite was true for condo sales, with the lion’s share (56) happening in Toronto proper.

In a statement, Justin Sherwood, senior vice president of communications, research, and stakeholder relations at BILD, said that during this “time of economic uncertainty” stimulating housing sales and starts is “essential to support Canada’s economy.”

“However, this can only be accomplished if government policy aligns to get housing sales and construction moving again,” he said.

Sherwood applauded recent announcements by Conservative Leader Pierre Poillievre and Liberal Leader Mark Carney to cut the GST on new homes under $1.3 and $1 million, respectively, for first-time buyers.

“To be successful in addressing affordability, these policies must apply to the largest number of buyers, have price thresholds that are reflective of the GTA market reality and be matched by the provincial government,” he said.