GTA Condo Crisis? Sales Hit 27-Year Low as Investors Face Massive Losses

The Greater Toronto Area (GTA) condo market is sending shockwaves through the real estate world, with numbers that haven't been this grim in nearly three decades. If you're an investor, homeowner, or thinking about buying a condo, this is your wake-up call.

Condo Sales Plunge to Historic Lows

In Q2 2024, condo sales in the GTA dropped to just 1,688 units, a level not seen in 27 years. The slowdown is not just a blip; it's a signal of a major shift in buyer sentiment, affordability challenges, and investor hesitation.

Unsold Inventory Piling Up

As of mid-2025, *unsold condo inventory has reached a staggering 25,893 units. This growing backlog reflects the disconnect between supply and current demand, particularly in suburban 905 areas such as Markham, Vaughan, and Mississauga, where investor appetite has weakened significantly.

Falling Prices in a Saturated Market

Condo apartment prices across the GTA fell 4.3% year-over-year to an average of $696,000 as of June 2025. What’s more alarming? Some units are selling for hundreds of thousands less than their peak value.

In North York, multiple resale units have reportedly sold for $300,000 to $683,000 below their peak purchase price, a trend being widely reported across social media and real estate platforms.

 Investor Fatigue and Financial Strain

Investors who once viewed GTA condos as "can’t-miss" assets are now "bleeding," as mortgage rates, vacancy risks, and competition from new developments eat into profits, or eliminate them. The rising cost of ownership, paired with rental stagnation, is forcing some to sell at steep losses.

What This Means for Markham and Other 905 Areas

In areas like Markham, where pre-construction condo launches once sold out in hours, sales momentum has slowed dramatically. With fewer investors willing to carry negative cash flow, prices may continue to slide, creating opportunities for buyers but major risks for current owners.

Final Thoughts: Is a Correction Underway?

The GTA condo market appears to be amid a correction not just in pricing, but in investor psychology. Whether this is a temporary dip or a long-term shift will depend on interest rates, government policy, and how quickly the excess inventory can be absorbed.

If you're considering buying, selling, or holding onto a condo in the current market, it’s critical to stay informed and speak with a local real estate expert to weigh your options.