GTA’s 2025 Home Sales Plummet, Endangering Construction Jobs: Report

New home sales in the Greater Toronto Area (GTA) reached a historic low last year, significantly impacting construction jobs and long-term housing goals. A report by the Building Industry and Land Development Association (BILD) highlighted that only 240 new homes were sold in December 2025, representing a shortfall of approximately 1,100 units compared to the previous decade’s average for that month.

Record Low Sales for 2025

This downturn culminated in what is now recorded as the worst year for new home sales in the GTA since data tracking began 45 years ago. The report from Altus Group, which provides housing market insight for BILD, indicated that total new home sales in 2025 were just 5,300 units. This figure is a staggering 81% below the GTA’s 10-year average of 28,286 sales.

Impact on Jobs and Construction

• December 2025 new home sales fell 24% compared to December 2024.
• About 3,247 of the homes sold were single-family houses, down 63% from the 10-year average.
• Condominium sales were even more affected, plummeting 89% from the 10-year average, with only 2,067 units sold.

As reported by BILD chief operating officer Justin Sherwood, these low sales figures are detrimental to the housing market, leading to a drastic reduction in housing starts. Without a recovery, up to 100,000 construction jobs could be at risk. This number includes both direct construction employment and jobs in sectors supporting construction activities.

Government Response and Proposals

In light of these challenges, both Ontario and federal governments previously proposed rebates on the harmonized sales tax for first-time buyers of new homes priced below $1 million. However, Sherwood argued that removing these tax rebates altogether could help stimulate sales further. Ontario Premier Doug Ford expressed his support for such measures, stating that they could potentially ignite market activity, although he emphasized the need for federal cooperation.

Concerns Over Housing Supply

Critics, including Ontario Liberal housing critic Adil Shamji, have voiced doubts about the government’s ability to effectively increase housing supply. Shamji pointed to consistently declining housing starts as evidence of the government’s failure to meet its targets. The Ford administration had initially aimed to construct 1.5 million homes by 2031, but Finance Minister Peter Bethlenfalvy recently referred to this goal as a “soft” target due to lagging performance.

Current Housing Market Trends

According to data from the Canada Mortgage and Housing Corporation, Ontario recorded approximately 62,000 housing starts in 2025. This figure marks a 13% decrease from 2024, underscoring the urgency of addressing the current market situation.