Record condominium completions
CMHC reported a record 25,572 condominium apartments completed in the Toronto market in 2024.
ONTARIO CONDO CLOSINGS
Prepare for the mortgage before your condo is ready.
Years may pass between signing and closing. Your income, debts, credit, rates, lender policies and the appraised value can all change before the final mortgage is approved.
Earlier review means more time to understand the numbers and assess realistic options.
DID YOU KNOW? · MARKET INSIGHT
Toronto condo construction is slowing sharply.
After years of strong condominium construction, a record number of completed units is being followed by a steep decline in new starts.
Condominium starts declined
Toronto condominium starts fell about 60% compared with the first half of 2024 as weak presales reduced project feasibility.
New starts in the City of Toronto
Only 156 condominium units started construction in the City of Toronto during the first six months of 2026, versus an annual average of about 7,000 units over the prior decade.
Completions today, less new supply tomorrow
Thousands of earlier purchases are reaching completion while developers begin far fewer new projects. This changes the context for buyers and investors, but it does not determine the financing outcome for any individual property.
Geographic scopes and reporting periods differ: the 2024 and 2025 figures refer to the Toronto market/CMA context, while the 2026 figure is specifically for the City of Toronto. They are not a directly comparable time series.
DID YOU KNOW? · FINANCING INSIGHT
A lower appraisal could leave you $80,000 short at closing.
A purchase agreement does not guarantee that the final mortgage will be based on the original price. Consider this illustrative example:
| Original purchase price | $800,000 |
|---|---|
| Current appraised value | $700,000 |
| Mortgage at 80% of appraisal | $560,000 |
| Deposit already paid | $160,000 |
| Additional cash required | $80,000 |
Where does the gap come from?
After the $160,000 deposit, $640,000 remains payable. If the lender provides $560,000, the buyer must find another $80,000—before closing costs.
Illustrative scenario only. It assumes the lender bases its maximum mortgage on 80% of the lower appraised value. Actual loan-to-value limits, qualification, insurer requirements, fees and closing costs vary.
POSSIBLE PATHS
What may be considered if the numbers no longer fit?
The appropriate path depends on the borrower, property, timing and full cost. No option is automatic or guaranteed.
Conventional financing
Reassess qualification, down payment and lender policy using current income, debts, credit and valuation.
Alternative lender
Where appropriate, a different income or property assessment may offer a path, generally with different rates, fees and criteria.
Additional equity
Savings, permitted gifts or other documented funds may reduce the required mortgage, subject to lender verification and applicable rules.
Private financing
A short-term private solution may be considered in some cases, but cost, exit strategy, fees and risks require careful review.
- 01
Confirm timing
Review occupancy, interim occupancy and final closing dates.
- 02
Update qualification
Assess current income, debts, credit and available funds.
- 03
Test the valuation
Understand how a lower appraisal could affect the required mortgage and cash.
- 04
Compare full cost
Compare rates, fees, penalties, legal costs and the exit plan—not only approval.
ASK BEFORE CLOSING
Review the financing before closing becomes a problem.
Share the purchase price, deposit paid, expected closing date and a brief description of your current qualification—without sensitive documents or identification details.
All financing is subject to lender criteria and approval, borrower qualification, property valuation and applicable terms. Information and examples on this page are general and do not constitute a commitment to lend, a guarantee of approval or legal advice.