As far as I know Toronto's real estate market hasn't taken much of a hit at all during the past couple of years. I think there is growing sentiment that this is a delayed bubble waiting to burst though.
I have no data to back this up, and I'm hearing it from family/acquaintances that aren't really in real estate or economics, so take it with a grain of salt. I'm also on the other side of the continent and living in the US, so I'm a little out of touch with conditions there other than what I gather get second-hand from others.
As to the article itself, it doesn't really mention that some markets (like in Alberta) suffered real estate slumps, though from the data it looks like a lot of those people did not become insolvent, even though their house value dropped.
It's interesting to note how different the markets can be in Canada though. When oil prices skyrocketed, BC and Alberta were doing really well for themselves due to the oil sands. On the other hand, Ontario was slowing down because most of the economy is predicated on manufacturing (Ford, GM, and others have plants in Ontario; Oakville, Windsor, Oshawa, etc), exports to the US, and drawing in Hollywood with incentives to film in Toronto (though I think that they are province-wide, and not local incentives). This was mainly due to the rise of the USD-CAD conversion rate though that was coupled with the rise in oil speculation.
It'll be interesting to see how some of these things play out in the future. From listening to CBC radio during that period, I gleaned that Canada at one point was a mostly resource-based economy, but that in more recent years (for varying definitions of 'recent'), things have changed to become more dependent on the US investing money due to the benefitial USD-CAD rates. What happens if the US hits a larger slump? How will this affect Canada? Will the aggregate affect be minimal due to the rise and fall of different sections of the country negating each other?