New listings have been arriving faster than sales lately: the SRA reports new listings up 12.3 percent year over year while sales are running 6.6 percent above the 10-year average for the month, so demand has largely kept pace with the extra supply rather than being overwhelmed by it.
New-build pricing also tends to set a ceiling rather than a floor for a given neighbourhood, since a builder is pricing to cover land, materials and financing costs rather than reacting to what a similar resale home just sold for. A resale seller nearby can end up competing against that builder price as much as against other resale listings.
Whether new construction pulls prices down in your specific area depends on how much of it is actually coming and how fast it sells, not on a general rule. Get your hand-reviewed valuation from Joel Dyck.