Market Watch - Seasonal Activity Improves, But The Market Remained Cautious

Spring sales have been stronger than last year, reflecting improved affordability stemming from lower selling prices and borrowing costs. Sales are forecast to improve further as we move through the second half of this year. Recovery would be further bolstered by positive news on the trade front, along with an easing of geopolitical tensions and related uncertainty.

Ontario - Seasonal Activity Improves, But The Market Remained Cautious

Toronto, June 3, 2026 -- The Greater Toronto Area (GTA) resale housing market tightened in May 2026 compared to last year. Sales increased year-over-year, whereas new listings declined over the same period. As standing inventory has been absorbed, competition between buyers has likely increased in some neighbourhoods. This should see the price trend flatten and ultimately trend upwards in the months ahead.

“Spring sales have been stronger than last year, reflecting improved affordability stemming from lower selling prices and borrowing costs. Sales are forecast to improve further as we move through the second half of this year. Recovery would be further bolstered by positive news on the trade front along with an easing of geopolitical tensions and related uncertainty,” said TRREB President Daniel Steinfeld.

“Inventory levels trended lower over the past year, but buyers continued to have substantial negotiating power through the spring, helping with affordability. Looking ahead, if sales strengthen further relative to listings, selling prices will level off and even start to grow as we move into 2027,” said TRREB Chief Information Officer Jason Mercer.

GTA REALTORS® reported 6,583 home sales through TRREB’s MLS® System in May 2026 – an increase of 6.3% compared to May 2025. New listings entered into the MLS® System amounted to 17,698 – down by 18.9% year-over-year.

On a seasonally adjusted basis, May 2026 home sales were up by 10% month-over-month compared to April 2026 and new listings were down by 2.1% – pointing to a monthly tightening of market conditions as well.

The MLS® Home Price Index (MLS® HPI) Composite benchmark was down by 6.7% year-over-year in May 2026. The average selling price, at $1,069,700, was down by 4.6% compared to May 2025.

On a month-over-month seasonally adjusted basis, the average selling price was up slightly compared to April 2026, and the MLS® HPI Composite edged slightly lower.

Ottawa - Seasonal Activity Improves, but Ottawa’s May Market Remains Cautious

Ottawa, June 3, 2026 -- Ottawa’s housing market remained balanced in May, with activity improving from April but continuing to trail last year’s spring pace. A total of 1,616 homes sold in May, up from 1,336 in April, reflecting the typical lift as the spring market progressed. However, sales were down 10.6% compared to May 2025. These slower sales are becoming a theme thus far in 2026, even as the market remains active.

The sales-to-new-listings ratio rose to 48.2%, while months of inventory eased to 3.0, indicating demand kept a better pace with new supply than it did in April. Active listings remained elevated at 4,917, keeping pressure on sellers to price strategically.

Average prices across market segments were mixed, though overall pricing remained relatively stable. Single-family home pricing was flat year over year, while average prices for townhomes and apartments saw modest declines. Overall pricing was less than one percentage point below last year’s level, indicating continued market stability. The average residential sale price was $721,270 in May, up from $712,184 in April, and relatively flat at 0.9% below May 2025. The median sale price followed a similar pattern, rising to $660,000 from $650,000 in April while remaining 1.6% lower than last May.

Performance varied by property type. Single-family homes remained resilient, with average prices essentially unchanged year over year and the median price up 1.3%. Townhomes and apartment-style properties continued to face softer conditions, with both average and median prices below last year’s levels.

The MLS® Home Price Index (HPI) composite benchmark price increased 0.9% from April but remained 0.6% below May 2025, reflecting continued variation across market segments.

Economic uncertainty continues to influence market activity. Recent GDP data has fueled discussion about Canada’s economic momentum, while the Bank of Canada has continued to take a cautious approach to interest rates. CMHC data reported lower employment levels in the first quarter compared to a year earlier, while CREA’s labour-market charts point to stronger full-time job growth and an unemployment rate that has eased from its early-2026 peak.

Ottawa’s market remains balanced, but the data also points to clear challenges. Sales continue to lag last year’s pace, inventory is elevated, and softer segments are weighing on the broader price picture. The strength of the summer market will depend on whether demand continues to absorb supply at a steady pace.

“The Ottawa market is not moving in one direction across all property types,” says OREB President Tami Eades. “May brought the seasonal increase in activity we typically expect to see in Ottawa’s housing market, but sales continue to trail last year’s pace. While economic uncertainty continues to influence consumer confidence, the key question moving into the summer market will be whether demand continues to keep pace with supply. The market remains active, but inventory levels, employment trends, and buyer confidence will all play an important role in shaping the months ahead.”

Residential Market Activity
In May, 1,616 homes were sold through the MLS® System in Ottawa, a 10.6% decrease compared to May 2025, but a clear increase from 1,336 sales in April. The month-over-month gain reflects the typical spring lift in activity, even as demand continues to trail last year’s stronger spring pace.

Sales activity was down in May compared to 2025, though the extent of that decline varied by property type. Single-family homes recorded 904 sales in May, down 8.6% from a year earlier. Townhouse sales totalled 481, down 14.3%, while apartment-style properties recorded 203 sales, down 12.1%. The segment-level results point to a market where demand remains present, but activity is trailing 2025 across all segments.

Supply remained elevated. New listings totalled 3,351 in May, down 2.2% from May 2025, while active listings rose to 4,917 units, up 12.2% year over year and above April’s 4,535 listings. While new listings did not surge this month, the elevated level of active inventory shows that supply has continued to accumulate.

The sales-to-new-listings ratio improved to 48.2%, up from 41.0% in April and consistent with balanced market conditions.

Year to date, 5,453 homes have sold in Ottawa, down 6.3% from the same period in 2025. New listings total 12,284, up 5.4%, while average active listings are up 14.8%. The year-to-date sales-to-new-listings ratio of 44.4% and 3.5 months of inventory point to a market that remains balanced overall, but one where sellers face more competition than they did last spring.

Prices and Market Balance
Price trends remained stable in May, but they were not uniform across property types. The average residential sale price in May was $721,270, down 0.9% from May 2025 but up from $712,184 in April. The median price was $660,000, down 1.6% year over year and up from $650,000 in April. Year to date, the average price is $694,539, down 0.6%, while the median price is $639,000, down 1.7%.

Single-family homes remained the most resilient segment, with an HPI benchmark price of $723,800, up 0.9% from April and 0.3% year over year. The average single-family sale price was essentially unchanged from last May, while the median price rose 1.3% to $800,000.

The townhome segment softened in May data compared to recent months. Earlier in the year, townhome activity was holding up comparatively well, but May reversed that pattern. Townhouse sales fell 14.3% year over year, pulling year-to-date sales 2.8% below 2025. Pricing has not fallen sharply month over month, with the townhouse HPI benchmark at $557,500, down 0.4% from April and 3.2% from last May. The larger signal is softer absorption, as active listings remain elevated and months of inventory sit well above last year’s level.

Apartment-style properties continued to show the most pronounced pressure. The apartment benchmark price was $385,500, up 1.5% from April but down 6.7% from May 2025. Average and median apartment prices were also lower year over year. This weakness is not unique to Ottawa; Toronto’s condo sector has also been affected by weaker investor demand and higher carrying costs. Ottawa’s apartment segment, however, should still be understood within local conditions: the data points to a slower, more price-sensitive segment, not a broad market correction.

Months of Inventory:

• Single-Family: 2.7
• Townhome: 2.7
• Apartment: 4.8

Ottawa is not experiencing broad-based price growth, but neither is the market showing a uniform decline in price. Single-family homes continue to provide support, townhomes are adjusting, and apartment-style properties remain the softest part of the market. For sellers, accurate pricing remains critical; for buyers, the data points to a market where patience and property-specific analysis matter more than broad assumptions about Ottawa as a whole.

Alberta - Apartment Prices Ease as Inventory Remains Elevated

Calgary, June 1, 2026 – In line with seasonal trends, inventory has risen from the start of the year, reaching 6,752 units in May. While these levels are consistent with last May, they remain 11% higher than longer-term trends for the month, thanks to higher supply levels of apartment and row-style homes. Meanwhile, inventory levels for detached homes are down 3% compared with both last year and long-term trends. 

At the same time, sales activity has been slowing. Calgary sales in May were 2,162 units, 16% lower than last year’s levels and similar to sales reported in April. While new listings also slowed by 13% compared with last year, it was not enough to offset the pullback in sales, causing the sales-to-new-listings ratio to ease to 51%. The lower ratio also contributed to some of the inventory build, causing the months of supply to rise. However, conditions do vary across the market, with a range of two-and-a-half months of supply in the detached market to more than five months of supply in the apartment condominium market.    

“The shift in supply is being felt in the market. More supply choice in the new and rental markets has created a more competitive environment for potential buyers. At the same time, concerns over rising cost of living and slower migration are also weighing on consumers,” said Ann-Marie Lurie, Chief Economist at the Calgary Real Estate Board (CREB®). “While this has caused the overall resale market to shift to a balanced state, the supply pressure is having a more prevalent impact for apartment-style units, where conditions are favouring the buyer. This is also impacting price movements, with apartment prices continuing to trend down and other property types reporting a seasonal lift over the winter months.”  

The unadjusted total residential benchmark price in May was $570,500, up over April’s levels and the $554,400 reported in January, but still 9% lower than last May. Most of the unadjusted monthly gain was driven by detached homes, which rose from $724,000 in January to $747,800 in May. Apartment prices remain lower than January levels and are 9% lower than levels reported last May. Overall, when adjusting for seasonality, total residential prices have remained relatively stable, as detached improvements have offset pullbacks for apartment-style homes.

Detached - Detached new listings reached 2,195 units in May compared with 1,192 sales, causing the sales-to-new-listings ratio to ease to 54% compared to the higher levels reported over the past three months. This supported a monthly lift in inventory levels, but supply remained three% lower than levels reported last year at this time. With two-and-a-half months of supply, conditions remain relatively balanced and are supporting stability in seasonally adjusted prices. Within the detached market, there is some significant variation. While year-to-date sales have slowed by four%, there have been gains for the lowest-priced (under $600,000) and highest-priced ($1.5 million and up) homes. Within each district, conditions ranged from a seller’s market in the West district to a buyer’s market in the North East district. The variation is also impacting price movements. The North East district is reporting the highest year-over-year decline at seven%. Meanwhile, thanks to recent gains, the West district has seen prices remain consistent with levels reported last year.

 Semi-Detached - Both sales and new listings in May remained at levels similar to the previous month. With 217 sales and 375 new listings, the sales-to-new-listings ratio was 58%, supporting some modest improvements in inventory levels. Despite inventory improvements, conditions remained relatively balanced, with months of supply sitting at just under three months. Unadjusted benchmark prices continued to rise in May, reaching $691,100. This is an improvement over the $667,000 reported in January, but still one% lower than levels reported in May 2025. Like the detached sector, conditions vary significantly across the city. Prices have been trending up across most districts. Meanwhile, year-to-date new record-high prices have been reported in the North West and West districts. 

 Row - Following April’s gains, May sales slowed, adding to the year-to-date decline of 16%. The 350 sales were met with 695 new listings, causing the sales-to-new-listings ratio to fall to 50% in May. This also resulted in slight gains in inventory levels, pushing the months of supply up above three months. While there is more supply compared to several years ago, prices have still reported some modest gains compared with earlier in the year. The unadjusted benchmark price was $422,300 in May. Prices have improved since the beginning of the year, but remain over 6% lower than last year’s levels. The largest year-over-year declines occurred in the North East and East districts, where prices fell by more than 10%. The West district reported the smallest decline at nearly five%. 

Apartment Condominium - Additional supply choice in the rental and new-home markets is heavily weighing on resale condominiums. Sales continued to slow into May, contributing to a year-to-date decline of nearly 28%. At the same time, while new listings are not as high as last year, the 403 sales compared to 961 new listings caused the sales-to-new-listings ratio to fall to 42%, keeping inventories elevated. With supply levels remaining elevated and demand easing, the months of supply has pushed above five months, creating conditions favourable to buyers. The excess supply is also weighing on prices, as the unadjusted benchmark price continues to decline. In May, the unadjusted benchmark price was $300,400, lower than January levels and 9% below last year’s price. Prices have eased across each district, with double-digit declines occurring in the North East, North, and East districts. The lowest price decline occurred in the North West district at 6%.   

Britich Columbia - Sales Struggle Against a Weak Economy and Rising Mortgage Rates

Vancouver, June 11, 2026 -- The British Columbia Real Estate Association (BCREA) reports that 6,790 residential unit sales were recorded in Multiple Listing Service® (MLS®) Systems in May 2026, down 2% from May 2025. The average MLS® residential price in BC in May 2026 was down 1.4% at $945,878 compared to $959,216 in May 2025.

Total MLS® residential sales dollar volume was $6.42 billion, down 3.4% from the same time the previous year. BC MLS® unit sales were 26.39% lower than the ten-year average for the month of May.

“Rising mortgage rates and a weak labour market continue to constrain activity around the province but especially in the Lower Mainland,” said BCREA Chief Economist Brendon Ogmundson. “The recent rise in mortgage rates presents an unexpected headwind for the market this year and may further delay a recovery in activity.”

Year-to-date, BC residential sales dollar volume is down 8% to $25.1 billion, compared with the same period in 2025. Residential unit sales are down 6.9% year-over-year at 26,681 units, while the average MLS® residential price is also down 1.2% to $941,883.