2026 Expected to Be a Transition Year for Condo Buyers as Market Eyes Healthier 2027: REMAX Canada Report
REMAX Canada says the 2026 GTA condo market will remain in transition as high inventory and cautious buyers delay a broader recovery until 2027
The REMAX Canada 2025 Canadian Condominium Report, which analyzed resale activity from January 1 to October 31, 2025, found that condominium sales declined across all major markets examined, including the Greater Toronto Area, Greater Vancouver, Calgary, Edmonton, Ottawa, the Fraser Valley and the Halifax Regional Municipality.
Despite easing prices and greater selection, buyers remained cautious throughout 2025 amid affordability pressures, economic uncertainty and employment concerns.
“Affordability and cost of living pressures weighed heavily on homebuyers nationwide,” said Don Kottick, President of REMAX Canada. “With two consecutive cuts to overnight rates in recent months failing to meaningfully shift consumer behaviour, it’s clear broader issues including job security and economic uncertainty continue to undermine consumer confidence levels.”
GTA Condos Face Prolonged Adjustment
In the GTA, condominium apartment and townhome sales fell 11.9 per cent year-over-year, with just over 18,100 units sold during the first 10 months of 2025. Average prices declined 5.1 per cent to approximately $691,300, reflecting continued imbalance between supply and demand.
REMAX Canada notes that nearly two years of available inventory remains in the GTA’s condo market, with meaningful absorption unlikely until mid-to-late 2026. That adjustment period is expected to lay the groundwork for improved balance in 2027.
While overall activity was muted, select GTA neighbourhoods demonstrated resilience, including Bathurst Manor–Clanton Park, Don Mills–Banbury and Etobicoke West Mall–Islington City Centre West–Kingsway South. Luxury condominiums priced above $2 million also showed relative stability, with sales down by just one transaction year-over-year.
New-Construction Pullback Raises Long-Term Concerns
The report highlights a significant slowdown in new condominium construction, particularly in Toronto and Vancouver. According to the Fall 2025 Housing Report from Canada Mortgage and Housing Corporation, condo apartment starts declined in every major market except Edmonton and Ottawa.
Higher construction costs, labour shortages, financing challenges and a sharp pullback in investor demand have led to project delays, cancellations and conversions to purpose-built rentals. REMAX Canada warns that while reduced construction is helping stabilize prices in the short term, prolonged supply constraints could worsen affordability over the long run.
“Making adjustments to the design and mix of condominium stock offered is prudent moving forward,” Kottick said. “However, a sustained pullback in new construction poses a serious risk to future affordability.”
Buyers Waiting, Renters Gaining Leverage
Across major urban centres, many prospective buyers opted to remain renters in 2025 as carrying costs—including mortgage payments and condo fees—continued to outpace perceived value. Increased rental supply, particularly from condo projects shifting to rentals, has led to stabilizing rents in markets such as Calgary and Halifax.
In downtown Toronto, return-to-office mandates helped boost rental demand in late summer. An occupancy report prepared by Strategic Regional Research Alliance showed average weekly office occupancy reaching 82 per cent by November, with midweek peaks at 92 per cent.
“Lower costs are finally allowing would-be buyers to save a better down payment without price appreciation negating their efforts,” Kottick said, noting that many households are choosing to wait for clearer economic signals before purchasing.
Edmonton, Ottawa and Halifax Positioned to Recover First
While most major markets remain oversupplied, REMAX Canada identifies Edmonton, Ottawa and Halifax as better positioned for an earlier recovery due to more balanced conditions and comparatively affordable pricing.
Edmonton stood out nationally, posting a 6.3 per cent increase in average condo prices despite a modest decline in sales. Ottawa’s market remained largely stable, with strong demand for condo townhomes and units priced under $500,000. Halifax saw prices edge higher even as sales softened, supported by sustained population growth.
Long-Term Condo Fundamentals Remain Intact
Despite near-term challenges, REMAX Canada emphasizes that condominiums remain a cornerstone of urban homeownership. In Greater Vancouver, condos now account for roughly 51 per cent of all home sales, while the GTA sits near 34 per cent—both significantly higher than a decade ago.
“One in every two homes sold in Vancouver and one in every three homes sold in Toronto is a condominium,” Kottick said. “Given land constraints and population growth, building up remains the only viable option in many urban centres.”
REMAX Canada expects 2026 to function as a transition year, with inventory slowly tightening and confidence gradually improving. A broader economic recovery, combined with stabilized borrowing costs, is expected to support a more balanced condominium market in 2027.
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