Although a record number of new condo units are hitting the market this year, Canada's housing agency says the vast majority have been sold.

Toronto’s preconstruction condo market is not as dire as it was during the 1990s property crash because the economy is stronger and there will eventually be demand for homes, according to a new government report.

Although preconstruction sales are at a 33-year low and some buyers are defaulting on their purchases, Canada Mortgage and Housing Corp. said there are signs that buyers will return.

Ottawa and housing advocates say Canada has a shortage of homes given the increase in population and changing demographics, which will eventually boost demand for all forms of housing .

“Today’s market is shaped by a structural shortage of housing, sugges

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