Canada’s Housing Market Outlook for 2026

National home sales in Canada fell by 1.9% in December, as reported by the Canadian Real Estate Association (CREA), amid economic uncertainties and a trade war with the U.S. While markets like Quebec City saw a notable 17% price increase due to lower interest rates, major cities like Toronto and Vancouver experienced their lowest sales in decades. Experts suggest that despite potential upticks in 2026, significant rebounds are unlikely due to ongoing economic fears and elevated prices for prospective homeowners. The future of the housing market remains closely tied to the Canadian economy and labor market developments.