GTA Preconstruction Condo sales lowest since the Financial Crisis in Q1 2009
In a news release from Urbanation, GTA condo sales have dropped 79% from a year ago and is the lowest quarter for new condo sales since the financial crisis in Q1 2009. As the Bank of Canada continues to increase interest rates, purchasers are standing on the sidelines. Developers have also pulled back on launching new projects. As of October, the market is on track for 10,000 units delayed for launch this year.
However, Urbanation does not expect this to negatively impact construction activity as GTA had record starts in condo construction this year. The total number of units under construction is at a record high of 96,510.
Average preconstruction condominium prices in Q3 2022 are at $1.427 psf down from $1,440 psf in the previous quarter due to low inventories and high development costs.
