GTA new home sales “remained extremely low” in March, marking a sixth consecutive month of record all-time lows.
The Building Industry and Land Development Association (BILD) said in its Thursday report there were 385 new home sales in March — down 68 per cent year over year, and 87 per cent below the 10-year average. Historically, new home sales for a typical March in the GTA would be 3,311 units based on the previous 10-year average.
With year-over-year housing starts in the GTA down more than 50 per cent, “governments must urgently and rapidly take action,” the report said.
“March 2025 new home sales across the GTA reached another low for the month,” Edward Jegg, research manager at Altus Group, BILD’s source for new home market data.
“Housing prices have stabilized, which is a reflection of the current cost to build and they are likely reaching their low point. This, combined with economic uncertainty, driven largely by tariff concerns, is keeping buyers on the sidelines.”
Broken out by housing type, condos performed the worst with 160 units sold in the GTA in March, down 75 per cent from March 2024 and 92 per cent below the 10-year average.
Single-family homes faired slightly better with 225 home sales in the GTA in March, down 61 per cent from March 2024 and 75 per cent below the 10-year average. Single-family homes include detached, semi-detached and townhouses (excluding stacked townhouses).
The benchmark price for new condos was $1.02 million — down 3.2 per cent over the last 12 months; while the benchmark price for new single-family homes was $1.53 million, down 3.9 per cent over the last 12 months.
Total new home remaining inventory decreased slightly compared to the previous month. The inventory level — the time it would take to sell inventory on the market based on current demand — is 14 months. A healthy market level is around nine to 12 months.
Justin Sherwood, BILD’s senior vice-president of communications, research, and stakeholder relations, called for urgent government action to help the industry.
“New home sales in the GTA have plummeted to catastrophic lows, and without urgent government action, we risk long-term damage not just to housing supply, but to the broader economy. If this were the auto sector, governments would be lining up with support,” he said.
Sherwood noted that the housing and development industry in the GTA employs 285,000 people, results in $16.9 billion in wages, and creates $60.8 billion in economic activity.
Both the Liberal and Conservative parties have made housing a top priority in the federal election campaign, outlining measures such as cutting the five per cent goods and service tax (GST) on some housing as well as reducing development charges to bring down the cost of new builds and make home ownership attainable. However, some critics say the measures are less about reducing the cost for consumers, and more so about kick-starting the homebuilding industry, which has come to a standstill. Municipalities have also voiced concern that the proposed cuts may not result in lower costs for consumers, but greater profits for builders.
Sherwood said for a long time, BILD has advocated to reduce or eliminate government fees, taxes and charges that are “eroding affordability,” and therefore, applauds the federal parties’ proposals.
However, with the average new single-family home in the GTA costing $1.5 million, and the average new condo in excess of $1 million, the proposed GST/HST thresholds are too low, he said.
“To ensure all Canadians are treated equitably and prospective new home buyers in the region can benefit from these measures, both parties must adjust their proposals so they apply to the first $1 million (or $1.3 million) of any new home purchase,” he added.
“In addition, as less than 20 per cent of new home buyers are first-time buyers in the region, the measures must be applied to all new home purchases to have a meaningful impact.”
