The Canadian property technology sector showed signs of stabilization in 2025, even as funding conditions remained tight. Proptech companies across the country raised nearly $450 million during the year, according to a new industry report.
The data comes from the fifth annual Proptech in Canada report published by Proptech Collective, a Toronto-based non-profit founded in 2019. The organization focuses on advancing innovation in real estate and construction through community programs, events, and education.
The report tracked more than 590 active proptech companies in Canada, compared to 535 a year earlier. Of these, 41 percent operate in residential real estate, 38 percent focus on commercial use cases, and 21 percent serve the construction segment.
Most companies remain concentrated in major urban hubs. About 90 percent operate from Toronto, Vancouver, Montreal, Calgary, Kitchener-Waterloo, and Edmonton. Nearly half are based in the Greater Toronto Area.
“At the market peak, when everything was going up and to the right in venture capital and general technology, around 50 startups would enter the ecosystem every year,” Alate Partners vice-president and report lead Stephanie Wood told RENX.
“Now we're seeing that number closer to 30 to 35. I think that reflects rationalization rather than weakness. I think that there are a lot more founders entering the market more thoughtfully and solving more defined problems.
“Companies have been a little bit better around trying to find product and market fit and are looking at their business model really seriously from the start in terms of unit economics. Previously, a lot of companies could get off the ground with just an idea.”
While overall fundraising slowed, several companies continued to attract large rounds. Four Canadian proptech firms have each raised more than $200 million to date.
GoBolt, a third-party logistics provider founded in 2017, has raised $254 million. Jobber, which builds software for home and commercial service businesses, has secured $242.1 million since its founding in 2010. Integrated home energy company dcbel, founded in 2015, has raised $212.5 million, including roughly $55 million last year. Digital mortgage lender nesto, launched in 2018, has raised $206.5 million.
“Investors are getting more clear about how to value proptech startups, depending on what area of the industry they're serving,” Wood explained.
“I think that the companies that people are starting today are going to potentially be more sustainable because of the thought that's gone behind them as well as the environment.”
Partnerships between proptech startups and established real estate players continued to increase during the year. These collaborations aim to bring emerging technologies into live operating environments and support wider adoption.
Examples highlighted in the report include realtor.ca working with Pinch, myAbode partnering with Skybound Realty, Forum Asset Management collaborating with Adaptis, Fitzrovia teaming up with Chexy, and Mattamy Homes working with Promise Robotics.
“A lot of investors are being more disciplined and selective with where they put their capital, so a lot of companies say if they're going to stay alive they need to grow their business with good contracts and good partnerships,” Wood said.
Mergers and acquisitions also remained active as companies looked to expand capabilities and consolidate market positions. In 2025, several notable transactions took place across the ecosystem.
These included FCT acquiring Fintracker to strengthen digital identity verification and compliance tools, and REA Group acquiring iGuide to expand immersive property experiences in Australia. Floorspace acquired anthemIQ to enhance its broker-first platform, while Univerus acquired ScriptString.AI to expand its AI-driven utility data management offerings.
Other deals included myAbode acquiring FirstList, Rentsync acquiring Spacelist to broaden its listings platform, and Verifast acquiring Opsana to advance AI-powered leasing solutions for residential and multifamily housing.
Artificial intelligence continued to move from experimentation to practical deployment across Canadian proptech. National investment and a strong research base have helped position Canada as a global AI hub.
“Within startups, one of the biggest things we've seen is just how much AI can improve and speed up the output when you're doing product design and engineering,” Wood noted. “That’s a huge thing because the most expensive thing for startups are their people and hiring.
"If you can connect your engineering team with tools, that becomes way more efficient than having to hire extra engineers to have the same output.”
During the past year, AI became embedded across leasing, construction, asset management, and development workflows. The report cited construction firm Pomerleau as an example. The company uses its internal platform, Almanac, to analyze historical project data, produce faster estimates, and allow teams to focus on higher-value tasks.
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