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Toronto Condo Owners Lost an Average of $37,000 in 2025 — And 2026 Could Be Even Worse

For years, Toronto condos were sold as a can’t-lose investment. Small units. Big leverage. Endless demand.
December 18, 2025 by
Toronto Condo Owners Lost an Average of $37,000 in 2025 — And 2026 Could Be Even Worse
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In 2025, that narrative finally broke.

According to the RE/MAX Canada 2025 Condominium Report, the average GTA condo lost more than $37,000 in value in just one year, and industry experts warn the downturn is far from over.

For many condo owners and investors, 2026 is shaping up to be a year of tough decisions — not quick rebounds.

GTA Condo Market: What Actually Happened in 2025

The decline wasn’t sudden. It was structural.

An imbalance between supply and demand pushed the GTA condo market into one of its weakest positions in over a decade.

Key 2025 Condo Market Stats (GTA)

  • 📉 Average condo price down 5.1%

  • 💸 Average value loss: $37,042 per unit

  • 🏷️ Average price: $691,308

  • 📦 Inventory equal to nearly 2 years of demand

  • 🔻 Unit sales down 11.9% year-over-year

Simply put: too many units, not enough buyers.

Why Condo Prices Are Still Falling

Unlike detached homes, condos rely heavily on investor demand — and that demand has dried up.

Multiple forces are hitting condos at once:

  • Rising carrying costs

  • Higher interest rates on renewals

  • Weak rental cash flow

  • Tight financing conditions

  • Buyer resistance to micro-units

  • Soaring maintenance and insurance fees

As RE/MAX Canada President Don Kottick noted, investors have largely stepped back, forcing developers and sellers to reassess what buyers actually want.

“With limited buyer interest, the era of micro-apartments may be coming to an end.”

New Condo Construction Is Pulling Back — But It Won’t Save Prices Yet

Condo starts have dropped across most Canadian cities, with the GTA seeing the steepest pullback. But reduced construction doesn’t fix today’s problem.

The market is still flooded with:

  • Pre-construction completions

  • Investor resales

  • Assignment listings

  • Rental units competing for tenants

Analysts estimate condo owners may need to wait until mid-2026 before demand even begins to catch up with supply.

Some Toronto Neighbourhoods Are Holding Up — Most Aren’t

A handful of GTA pockets outperformed in 2025:

  • Bathurst Manor / Clanton Park

  • Etobicoke West Mall / Islington / Kingsway South

  • Don Mills / Banbury

But these are the exceptions.

For most condo owners, especially downtown and investor-heavy buildings, prices are still under pressure — and liquidity is thinning fast.

2026 Outlook: Stabilization or Another Hit?

While RE/MAX sees 2026 as a “transition year”, other industry forecasts are less optimistic — projecting another $40,000+ decline in average GTA condo values next year.

That creates a difficult reality for condo owners:

  • Selling now locks in losses

  • Holding risks further erosion

  • Renewals could bring payment shock

  • Rental income often doesn’t cover costs

What Smart Condo Owners Are Doing Instead

At Lendworth, we’re seeing a clear shift.

Rather than panic selling, many condo owners are choosing to strategically refinance, restructure debt, or access equity before conditions worsen.

Private lending is playing a growing role because banks are pulling back on condo exposure.

How Private Condo Refinancing Can Help

Even in a soft condo market, equity still matters.

Lendworth helps condo owners:

  • Refinance out of high-payment renewals

  • Consolidate negative-cash-flow debt

  • Bridge through the downturn

  • Avoid forced sales

  • Buy time until markets stabilize

Why Condo Owners Choose Lendworth

  • ✅ Condo-friendly underwriting

  • ✅ First & second mortgages available

  • ✅ Flexible LTVs based on real market value

  • ✅ Fast approvals (24–48 hours)

  • ✅ Investor and self-employed friendly

  • ✅ Ontario-wide, GTA-focused expertise

We lend based on property fundamentals, not outdated condo assumptions.

Condos Aren’t Dead — But the Easy Money Era Is

It’s true: over the last decade, GTA condo prices rose nearly 80%, and condos still represent one-third of all Toronto home sales.

But the rules have changed.

The next phase of the condo market will reward:

  • Strong locations

  • Smart capital structures

  • Flexible financing

  • Owners who act early — not emotionally

Own a Condo in Toronto or the GTA? Now Is the Time to Plan

Waiting for headlines to turn positive could cost you leverage, options, and equity.

If you own a condo and want to refinance, stabilize cash flow, or prepare for 2026, speak with a private lender that understands today’s market — not yesterday’s hype.

📍 GTA & Ontario-wide

⚡ Fast condo refinancing

🏙️ Investor-friendly solutions

Lendworth Private Mortgages

Your equity deserves more™