Toronto’s condo market is undergoing a major transformation, and investors are heading for the exit.

After a year of expected rate cuts, forecasters are starting to question how long Canada’s easing cycle will last—and whether rates might start rising again in 2026.

Once the country’s hottest real estate region, the Greater Toronto and Hamilton Area condo market hit a 35-year low this year, according to a new report by real estate research firm Urbanation.