Ontario’s housing minister is acknowledging that new home construction in the province is at a “standstill,” potentially derailing the Ford government’s pledge to build 1.5 million homes by 2031.

An RBC Economics report published in August 2025 indicates that while Canada is not in a housing slump, Ontario, particularly the Greater Toronto Area, is experiencing a significant decline in housing starts. High development and construction costs, coupled with other local factors, are contributing to the slowdown in Ontario's construction pipeline, which is seen as a major driver of the country's housing crisis and poses a threat to future housing supply.

The high-density land market in the City of Toronto and its suburbs experienced a significant decline in pricing and investor sentiment in Q2 2025