Vancouver condominium sales dropped 37% between mid-2022 and the first quarter of 2025, according to a new report from the Canada Mortgage and Housing Corporation (CMHC).

The report attributed the decline to rising interest rates that have reduced affordability for homebuyers and weakened investor returns.

The downturn has led to a growing inventory of unsold units, putting further downward pressure on prices. Vancouver’s average condo resale prices fell 2.7% over the same period.

The soft market has triggered a wave of project cancellations. CMHC reports that the number of cancelled condominium units in Vancouver grew tenfold between 2022 and 2024. While some developers are pivoting to purpose-built rental construction, project cancellations continue to rise.

The federal agency warns that although buyers and renters may temporarily benefit from lower prices and increased supply, the cancelled projects are likely to worsen long-term housing shortages.

Pictured: Condominium towers near the Stadium-Chinatown SkyTrain Station in Vancouver.

Photo: CMHC