Here is everything buyers, sellers, and investors need to know about the housing market in Canada this spring.
Rates: The Bank of Canada’s March 18th announcement held the overnight rate at 2.25%, the Bank rate at 2.5% and the deposit rate at 2.20%. Mortgages are unlikely to see further rate decreases, so now is a good time to buy or refinance for 3 or 5 year terms. Variable rates may see a series of increases over the next two years.
Canadian Real Estate Association: According to CREA, 2026 started off with a decline in national homes sales.
CREA’s Senior Economist Shaun Cathcart stated, “The monthly decline in national home sales was driven primarily by less activity in the Greater Golden Horseshoe and Southwestern Ontario, suggesting that the story was probably more about a historic winter storm than a downshift in demand.”
2026 is expected to be defined by first-time buyers aged 25-40 years old, who have been waiting to enter the market.
Buyers entering the market this spring have more of an advantage compared to spring of 2025, due to lower borrowing costs, more stable prices, and choice.
Canadian Mortgage and Housing Corporation: CMHC expects British Columbia’s economy to improve in 2026 after limited growth in 2025; a weakened labour market and trade volatility being the main factors hindering B.C.’s economy in 2025.
Resale prices in Vancouver and Victoria have remained relatively stable, in comparison to the declines in Toronto. With recent price declines, and lower mortgage rates have made home ownership more favourable.