Real Estate Market Holds Steady Amid Changing Conditions

Home buyers continued to benefit from substantial choice in the resale market in February 2025. Home sales last month were down in comparison to the same period last year, while listing inventory remained high, providing substantial negotiating power for homebuyers.

Many households in Canada are eager to purchase a home, but current mortgage rates make it difficult for the average household income to comfortably cover monthly payments on a typical property. Fortunately, we anticipate a decline in borrowing costs in the coming months, which should improve affordability

Ontario - Real Estate Market Holds Steady Amid Changing Conditions

Toronto, 5 March 2023 -- Home buyers continued to benefit from substantial choice in the Greater Toronto Area (GTA) resale market in February 2025. Home sales last month were down in comparison to the same period last year, while listing inventory remained high, providing substantial negotiating power for homebuyers.

“Many households in the GTA are eager to purchase a home, but current mortgage rates make it difficult for the average household income to comfortably cover monthly payments on a typical property. Fortunately, we anticipate a decline in borrowing costs in the coming months, which should improve affordability,” said TRREB President Elechia Barry-Sproule.

“On top of lingering affordability concerns, home buyers have arguably become less confident in the economy. Uncertainty about our trade relationship with the United States has likely prompted some households to take a wait and see attitude towards buying a home. If trade uncertainty is alleviated and borrowing costs continue to trend lower, we could see much stronger home sales activity in the second half of this year,” said TRREB Chief Market Analyst Jason Mercer.

GTA REALTORS® reported 4,037 home sales through TRREB’s MLS® System in February 2025 – down by 27.4% compared to February 2024. New listings in the MLS® System amounted to 12,066 – up by 5.4% year-over-year. On a seasonally adjusted basis, February sales were down month-over-month compared to January 2025.

The MLS® Home Price Index Composite benchmark was down by 1.8% year-over-year in February 2025. The average selling price, at $1,084,547, was down by 2.2% compared to February 2024. On a month-over-month basis, the MLS® HPI Composite and the average selling price edged lower after seasonal adjustment.

“With the Ontario provincial election just behind us and the federal political situation in flux, there is a lot to consider from a policy perspective when it comes to housing. Not only do existing policy makers and those vying for high public office need to make clear their direction on housing supply and affordability, but they also need to be clear on how they intend to tackle issues related to trade and the economy. Clear direction will go a long way to strengthen consumer confidence,” said TRREB Chief Executive Officer John DiMichele.

Ottawa Real Estate Market Holds Steady Amid Changing Conditions

Ottawa, March 10, 2025 -- The number of homes sold through the MLS® System of the Ottawa Real Estate Board (OREB) totaled 809 units in February 2025. This represented a 10.2% decline from February 2024.

Home sales were 19.1% below the five-year average and 15.4% below the 10-year average for the month of February.

“Ottawa’s sales activity moderated while prices held steady,” says OREB President Paul Czan. “Despite increased inventory, market uncertainty continues to influence buyer and seller decisions. Some sellers who had previously delayed listing are now entering the market, contributing to more options for buyers. While demand remains strong in certain price segments, the pace of sales varies, making strategic pricing and preparation key for sellers.”

“The Bank of Canada’s influence on borrowing power, ongoing economic factors like tariffs, and the potential impact of upcoming elections are also shaping buyer and seller sentiment,” adds Czan. “As we approach the spring market, we anticipate increased buyer activity, particularly if interest rates trend downward and confidence continues to build.”

The MLS® Home Price Index (HPI) tracks price trends far more accurately than is possible using average or median price measures.

The overall MLS® HPI composite benchmark price was $658,300 in February 2025, a 4.4% rise compared to February 2024.

The benchmark price for single-family homes was $719,800, up 1.3% year-over-year uptick in February.

By comparison, the benchmark price for a townhouse/row unit was $438,000, a decline of 11.6% from 2024.  

The benchmark apartment price was $459,300, a 4.5% gain from the previous year. 

The average price of homes sold in February 2025 was $669,945, a 1.4% improvement from February 2024. 

The total dollar volume of all home sales in February 2025 amounted to $541.9 million, an 8.9% drop compared to the same period last year.

OREB cautions that the average sale price can be useful in establishing trends over time but should not be used as an indicator that specific properties have increased or decreased in value. The calculation of the average sale price is based on the total dollar volume of all properties sold. Prices will vary from neighbourhood to neighbourhood.

The number of new listings rose by 4.8% compared to February 2024, with 1,668 new residential properties added to the market. New listings were 10.8% above the five-year average and 6.7% above the 10-year average for the month of February.

Active residential listings totaled 3,735 units at the end of February 2025, reflecting a substantial 61.4% surge from February 2024. Active listings were 95.7% above the five-year average and 51.4% above the 10-year average for the month of February.

Months of inventory stood at 4.6 at the end of February 2025, compared to 2.6 in February 2024. The number of months of inventory is the number of months it would take to sell current inventories at the current rate of sales activity.

Alberta - Sales remain above long-term trends despite declines

Calgary, March 4, 2025 – Inventory levels saw substantial year-over-year growth for the second month in a row, rising by 76% to 4,145 units in February. While inventory increases were seen across all price ranges, the largest increases were in homes priced under $500,000.

The increase was driven by substantial growth in the more affordable apartment and row/townhouse sectors. The overall months of supply was 2.4 in February, similar to last month but more than double this time last year. Apartment-style units remained the most well-supplied at 3.1 months.

There were 1,721 sales in February, which was above historical averages for the month but 19% lower than levels seen last year and significantly lower than the record levels seen in the post-pandemic period. New Listings in February reached 2,830, roughly in line with historical averages for the month. The sales-to-new listings ratio for the month was 61%, higher than historical averages but below levels seen in each of the last three years.

“Even though more people listed their homes for sale, there were actually fewer sales than in February 2024. So, we’re seeing the seller’s market of the past two or three years ease off,” said Alan Tennant, President and CEO of CREB®. “In turn, that’s caused the pace at which prices are increasing to slow down a bit, which should come as welcome news for buyers.”

The total residential unadjusted benchmark price in February was $587,600, relatively stable compared to late-2024 and roughly 1% higher year-over-year. Price changes varied across the city, with the City Centre and North districts seeing declines, while the East district saw the largest price growth at over 3%.

Detached - Sales in February slowed to 765 units, nearly 20% lower than last year. New Listings increased by nearly 6% year-over-year to 1,265 units. The decline in sales, coupled with the gain in new listings, drove inventory levels higher, reaching 1,698 and a 61% increase in levels compared to 2024.

Months of supply improved across all districts compared to the levels seen last year, although the recovery is uneven across the city. The City Centre and North East districts continue to trend towards more balanced conditions, while the South and North West districts remain supply-constrained at approximately 1.6 months.

The unadjusted benchmark price rose to $760,500, roughly five% higher than last February. Prices rose across all districts, with the largest increase occurring in the City Centre district at nearly 8% growth.

Semi-Detached - There were 240 new listings in February, a gain of 7% from 2024. Sales fell by nearly 14% compared to 2024, slowing to 165 units. This gap between sales and new listings drove inventories up by 46%, though they remained below long-term averages for the sector in February. There was a large variation in months of supply across the city, with a low of just one month in the North West district compared to a high of eight months in the East district.

The unadjusted benchmark price pushed above levels seen in the late summer and early fall, rising by nearly 7% year-over-year to $683,500. This increase was supported by price grains across all districts, with the largest growth occurring in the City Centre and South districts of approximately 8%.

Row - As with other property types, year-over-year sales fell by over nine% while new listings increased by almost four%. Despite the sales decline, both sales and new listings remain above long-term averages for the month. This drop in sales pushed inventories to 655 units, more than double the levels seen last year, though still lower than the historical average levels for February. Months of supply improved across the city; the South and East districts have the tightest conditions at under 1.5 months, while the North East district has almost three months.

Unadjusted benchmark prices remain below levels seen in the fall but are up almost three% year-over-year at $446,880. Prices increased across all districts, with marginal increases in the South East and North districts, while the East district experienced a significant 12% increase compared to 2024.

Apartment Condominium - Sales reached 473 units in February, 26% lower than last year but still well above long-term averages for the apartment sector in February. New listings were relatively flat year-over-year, but at 852 units, it was the highest amount on record for the month. Driven by the record new listings, inventory increased by 90% year-over-year and also pushed to near-record levels. Months of supply reached 3.1 months in February, a substantial 155% increase over 2024 but still well below record levels seen in the period between the 2014 oil crash and the pandemic.

The unadjusted benchmark price for February was $334,200, comparable to levels seen in the fall and almost 4% above the prices seen this time last year. The largest price growth occurred in the West district at over 8%.

British Columbia - Tariff Uncertainty Slows February Housing Activity

Vancouver, March 11, 2025 -- The British Columbia Real Estate Association (BCREA) reports that 4,947 residential unit sales were recorded in Multiple Listing Service® (MLS®) Systems in February 2025, down 9.7% from February 2024. The average MLS® residential price in BC in February 2025 was down 2.4% at $964,349 compared to $987,811 in February 2024.

The total sales dollar volume was $4.8 billion, an 11.8% decrease from the same time the previous year. BC MLS® unit sales were 28% lower than the ten-year February average.

 “After several months of growing momentum, market activity was hampered in February by the uncertainty surrounding tariffs,” said BCREA Chief Economist Brendon Ogmundson. “Apprehension from prospective buyers will continue amidst this unfortunate trade war but may be somewhat tempered by lower interest rates on the horizon.

 Year-to-date, BC residential sales dollar volume is down 4.5% to $8.8 billion, compared with the same period in 2024. Residential unit sales are down 2.8% year-over-year at 9,175 units, while the average MLS® residential price is also down 1.8% to $958,366.