Condo owners who invested in what was considered a more affordable housing option at the end of 2022 saw their home values decline last year, with year-over-year price drops across 26 markets.

A new study from Point2 analyzed the changes in property values across Canada’s 67 largest cities in 2023 and found the sharpest percentage declines were in the condo market. The hardest hit cities were located in Ontario, in Mississauga, London and also in Lethbridge, Alberta, where drops ranged from 5.8 per cent to 6.1 per cent

Meanwhile, the highest net losses occurred in Barrie, Ont. (- $28,000), and Victoria B.C. (-$28,250). In Mississauga, owners’ newly acquired homes lost $36,600 in value, essentially depreciating by $100 on a daily basis.

Condo prices continued their year-over-year downward path in 26 markets in December, as well. The average condo price in Mississauga was $635,600 in 2022 and dropped to $599,000, by the end of 2023. In Toronto, the average price is $711,000 compared to $734,400 in 2022.
Also in Ontario, Hamilton, St. Catharines and Niagara Falls show drops of between $16,000 and $18,400.

Condo owners are also seeing gains in seven other cities. Condos in Coquitlam, B.C.; Halifax, Nova Scotia; Richmond, B.C. and Calgary, Alberta added more than $50,000 in one year.

Single-family homeowners across 18 cities have also seen their property values plummet, with Burlington, Ont. topping that list. For owners there who bought at the end of 2022, their home is currently worth nearly $60,000 less than what they paid for it. Other cities in Ontario experienced big losses, as well. Kitchener, Markham and Mississauga homeowners lost as much as 56,043 annually.

Although single-family homeowners are seeing change for the better. In November 2023, the data showed that homes were losing value in 25 large cities, but in December owners in only 18 cities lost home value.