Canada Housing Research Brief

Canada’s housing market closed out 2025 on a softer note. National home sales fell 2.7 per cent monthly in December, while full-year transactions were down 1.9 per cent from 2024, closing out an uneven year defined by uncertainty and shifting buyer confidence. Activity was subdued early in the year as tariff risks sidelined buyers, before rebounding through the spring and summer on pent-up demand and improving financing conditions. That momentum faded toward yearend, with December’s pullback driven by slowdowns in several major markets. Pricing also softened modestly, as the median single-family home price declined 0.2 per cent monthly, translating into a 3.6 per cent year-over-year drop. That said, overall conditions remained balanced with the sales-to-new listings ratio at 52.3 per cent amid restrained new supply and inventories below long-term norms.