Toronto’s condo market may be showing some signs of life compared to a year ago, as a new report suggests the expanded HST rebate is fueling new home sales and giving the market “the certainty it needs.”
According to a recent report from the Building Industry and Land Development Association (BILD), about 273 condominium apartments, including low to high-rise units and stacked townhouses, were sold across the GTA in June. Officials say that while it marked a “modest increase” from June 2025, condo sales remained 85 per cent below the 10-year average.
The latest figures come after a recent Urbanation report found new condominium sales in the Greater Toronto and Hamilton Area increased year-over-year for the first time since 2023, although it warned the supply of unsold new units is “thinning quickly.”
Still, overall, the report notes there were 1,175 new home sales across the GTA in June, a sharp increase from the record-low recorded in June 2025 but still 52 per cent below the 10-year average of 2,456 sales.
It’s a statistic that Research Manager Edward Jegg says is driven largely by the single-family sector which continues to benefit from the HST rebate program.
“June 2026 new home sales in the GTA once again were propelled by the single-family sector which benefitted from the HST rebate program,” Jegg said.
“The condominium sector has started to show some small gains but continued to be hampered by inventory that has shown less flexibility for pricing changes.”
HST rebate program a major driver
Throughout the report, BILD too, attributed much of the recent improvement to Ontario’s enhanced HST rebate, saying certainty around the finalized legislation is encouraging buyers to return to the market.
“After three consecutive months of positive momentum in the low-rise market, a pattern is emerging for new home sales in Ontario,” said Justin Sherwood, BILD’s chief operating officer.
Sherwood said the finalized HST rebate program, lower prices and elevated inventory have created favourable conditions for buyers.
He noted prices have fallen more than 15 per cent over the past year and buyers now have more choice.
He also added that while the condominium market appears to have “come off the bottom,” changes to the HST rebate rules related to construction start and completion dates would help the sector recover more quickly.
The report also says that the benchmark price for a new condominium apartment in the GTA was $1,038,604 in June, remaining largely unchanged at what BILD described as an “apparent price floor.”
Meanwhile, the benchmark price for a new single-family home was $1,275,458, down 15.5 per cent from a year earlier.
Builders also continued to add supply, with remaining new home inventory rising to 18,888 units in June, including 12,579 condominium apartments and 6,309 single-family homes. Officials say based on the average of sales over the past year, that represents 36 months of inventory.
