The Canadian housing market is set for a continued recovery in 2025, but uncertainty remains due to economic risks like U.S. trade tensions and affordability challenges.

Lower interest rates will boost demand by reducing ownership costs and helping first-time buyers enter the market.

Resale activity is expected to rise 12% nationally to 551,000 units—returning to pre-pandemic levels.

Home prices will see modest growth of 1.4%, with regional variations.

Affordability challenges and slower immigration will limit price gains, especially in major cities.

Regional Market Highlights:

• British Columbia: Sales rebound (+16.5%) but prices remain flat (+0.9%).
• Alberta: Strong activity continues (+4.8% sales, +4.1% prices).
• Ontario: Recovery on track, but Toronto condos face pressure from high inventory.
• Quebec: One of the stronger markets, with prices up 3.9%.
• Atlantic Canada: Sales growing, but price increases will slow.

Key takeaway: The market is stabilizing, but risks from U.S. tariffs and affordability concerns could create challenges ahead.