Trade war jitters send Canadian housing market into year-end slump, CREA reports
The Canadian Real Estate Association expects national home sales to rebound by 5.1% in 2026 to about 494,500 transactions, led by demand from first-time buyers and stronger activity in B.C. and Ontario. Average home prices are forecast to rise 2.8% to roughly $699,000, a more modest increase than previously projected, as interest rates stabilize and affordability slowly improves. After sales fell 1.9% in 2025 amid trade-related uncertainty, CREA expects confidence to continue returning to the housing market, barring major economic shocks. “In a macro sense, we’ve seen a lot of buyers coming back. It’s a lot of confidence coming back compared to at least what it was one year ago,” said CREA senior economist Shaun Cathcart.
