Canada Housing Market Shows Improving Stability Canada’s housing market continued to stabilise in May 2026, with buyer activity gradually strengthening across many regions. Lower borrowing costs, improving affordability and stronger homebuyer confidence supported greater market participation during the spring season. Nationally, conditions remained relatively balanced. Inventory levels continued to give buyers ample choice, while home prices generally stayed below year-ago levels. This helped keep affordability in focus and prevented competition from rising too quickly. However, tightening supply in selected markets and improving sales activity suggest that Canada’s housing market may be moving closer to equilibrium. Toronto Gains Momentum, Vancouver Remains Balanced The Greater Toronto Area showed stronger momentum in May. Home sales increased 6.3% year-on-year to 6,583 transactions, while new listings fell 18.9% compared with May 2025. Even as market conditions tightened, buyers still benefited from softer pricing. The MLS® HPI Composite benchmarkwas down 6.7% year-on-year, while the average selling price reached $1,069,700, down 4.6% from a year earlier. In Metro Vancouver, the market remained more balanced. Residential sales totalled 2,150 transactions, down 3.5% year-on-year, while new listings declined 7.6%. Inventory remained elevated, with active listings more than 34% above the region’s 10-year average. The benchmark price for all residential properties stood at $1,100,700, down 6.2% year-on-year, giving buyers more selection and keeping price growth contained. Outlook Canada’s housing market is expected to move toward steadier conditions in the coming months. If buyer demand continues to recover and supply tightens further in key cities, price declines may moderate. For buyers, the current market still offers choice and negotiating room. For sellers, improving activity is positive, but realistic pricing remains essential. Download to see insights from other country marketsDownload

Canada’s housing market is beginning to stabilise in 2026 as lower prices, improving affordability, and reduced borrowing costs gradually bring buyers back into the market. While elevated inventory levels continue to provide buyers with negotiating power, improving sales activity suggests confidence is slowly returning after a challenging period for the sector. Toronto: Sales Activity Improves One of the clearest signs of recovery can be seen in Toronto, where home sales rose 7% year-on-year to 5,946 transactions. Although new listings declined and benchmark prices remain below last year's levels, market conditions have started tightening as buyer activity improves. This suggests that demand is gradually returning, supported by better affordability and easing financing conditions. Vancouver: Detached Homes Lead Market Confidence In Vancouver, market performance remains mixed, but detached homes are showing encouraging signs of strength. Detached home sales increased 14%, indicating renewed confidence among buyers seeking larger properties. While benchmark prices remain lower than a year ago, values continue to hold above long-term averages, reflecting the underlying resilience of the market. Market Conditions Remain Balanced Across Canada, elevated housing inventory continues to create a balanced market environment. Buyers still have room to negotiate, while sellers are adjusting expectations in response to changing demand patterns. This balance is helping support a healthier market recovery compared to the rapid price growth seen in previous years. The combination of improving affordability, lower borrowing costs, and stable inventory levels is creating a more sustainable foundation for long-term market growth. Outlook Canada's housing market is expected to continue its gradual recovery through the second half of 2026. While price growth is likely to remain moderate, improving affordability, lower financing costs, and returning buyer demand should support stronger activity across major markets. If economic conditions remain stable, Toronto and Vancouver could lead the next phase of market improvement, while balanced inventory levels help maintain market stability. Download to see insights from other country marketsDownload

Canada’s housing market showed signs of stabilisation in March 2026, as national conditions moved closer to balance. Improved affordability and stronger seasonal demand helped support prices after previous declines, giving buyers and sellers a more stable market environment. Toronto Market Tightens In the Greater Toronto Area, sales reached 5,039, up 1.7% year-on-year, while new listings fell 16.7% year-on-year. This shows that supply is dropping faster than demand. Although prices were still down annually, they remained stable month-on-month, suggesting that a price floor may be forming. Vancouver Remains Balanced Metro Vancouver recorded 2,032 sales, down 2.8% year-on-year, while new listings fell 10.3% year-on-year. However, active listings remained high at 14,774, around 38% above average. This gives buyers more choice and keeps price growth limited for now. Buyers Still Hold Negotiating Power Compared with 2025, buyers continue to benefit from more options and stronger negotiating power. However, as the spring market progresses and supply adjusts, conditions may begin to tighten gradually in selected cities. Outlook Canada’s housing market is likely to remain more balanced in the near term, with different cities moving at different speeds. Toronto may see stronger support if supply continues to fall, while Vancouver could stay steady due to higher inventory. For buyers, this remains a useful window to compare options, negotiate carefully and enter the market before conditions tighten further. Download to see insights from other country marketsDownload