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Written By
Steve Tustin
Mar 25, 2025
•Housing
For many newcomers, buying a home in Canada is a dream that can help set roots and build equity. Researching the housing market in Canada is vital when considering what city to settle in, where, and when to buy a home. Following housing prices in Canada can help you discover the most affordable cities. Discover the most recent housing market statistics from February 2025 that reveal the steepest housing sales decline in Canada in almost two years.
For newcomers looking to buy a home, February sales in the Canadian housing market dropped 9.8% from January. According to the latest statistics from the Canadian Real Estate Association (CREA), actual home sales were down year-over-year by 10.4% in February.
CREA also reported that the actual national average sale price of a home in Canada sold in February was $668,097. That’s down 3.3% from a year ago. The same report shows that new listings dropped 12.7% month-over-month. This follows a surprise 11% increase in listings in January.
In February, the most significant decline in home sales happened in the British Columbia and Ontario housing markets.
According to housing experts like Scotiabank’s Patrick Perrier, this steep decline is linked directly to the “darkened” trade war between the U.S. and Canada.
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REGISTER FOR THE WEBINAR“Not surprisingly,” said Perrier, “potential buyers are nervous to purchase a property given this high level of uncertainty about their future employment and income conditions.” He said the trade war background was clearly at play in housing market activity in recent months.
The CREA report also says new listings fell 12.7% month-over-month, following an unexpected hike in January.
In February, the total housing listings across Canada were up 13.1% from last year to about 146,000. However, that’s still below the long-term average for the time of year of 174,000 listings.
According to CREA, the decline in sales happened in most markets across Canada. Three-quarters of local markets and almost all large markets saw a fall in sales.
The slowest sales, however, happened in the Greater Toronto Area and surrounding Great Golden Horseshoe regions, home to some of the priciest housing markets in Canada.
Immigrants are a vital segment of Canada’s home-buying market. A Royal Lepage report showed newcomers buy one in five homes in Canada. After arriving, they also buy homes faster than ever and are far more focused on home buying than Canadian-born homebuyers.
Housing affordability varies in most Canadian real estate markets for homebuyers and renters. So, it’s smart to research the housing market and home prices in different regions before deciding where to settle. Affordable housing markets can help newcomers buy homes within their budget.
Canada lowered its permanent resident target from 500,000 to 395,000 in 2025, down to 380,000 in 2026, and set a target of 365,000 in 2027. Lower targets aim to ease pressure on the housing market in Canada. With lower home prices (and interest rates), it becomes easier for newcomers to own a home.
In February, British Columbia, Ontario, and Alberta continued to have the highest housing prices in the Canada housing market for newcomers, while New Brunswick had the lowest.
The average price for all residential properties in Greater Vancouver was $1,185,200 in February 2025. That’s up 0.91% from January 2025. In February, Greater Vancouver home sales were 1,827, down 11.7% on a year-over-year basis and 28.9% below the 10-year seasonal average for the month.
In February, the average home price in Calgary was $576,800, a 0.65% increase from the previous month. Calgary home sales in February fell 19.3% from last year but remained above typical monthly sales as inventory levels grew significantly.
Edmonton’s average home price was $421,800, 2.33% higher than January 2024. Edmonton is still the most affordable among Canada’s five largest cities. In February, 1,825 residential homes were sold (1,015 detached dwellings, 215 semi-detached houses, 305 apartments, and 290 townhouses).
The average house price in Saskatoon in February was $405,400, up 0.50% compared to January 2025. Saskatchewan had 986 sales in February across the province, a modest 1% decrease from February 2024.
The average sale price in Winnipeg for February 2025 was $373,700. That’s 2.69% higher than January 2025. In February, 885 homes were sold in Winnipeg, up 11% over February 2024.
The average home sold price in the GTA in February was $1,073,900, up 0.36% from January. In February, 4,037 homes were sold, down 27.4% compared with February 2024. Sales were down 28.5% from January.
The average home sale price in Ottawa’s housing market increased by 1.29% month-over-month to $685,300 in February 2025. The number of homes sold totalled 809 units in February 2025. That’s a 10.2% decline from February 2024.
Housing sales in Halifax increased by 27.6% in February, rising from 210 transactions in January to 268 in February. The average list price fell 4.3% from $672,396 to $643,687.
Brampton home prices dropped 1.3% to $972,185 in February 2025. That’s down 1.3% or $13,136 from January 2025 and 5.9% or $61,488 compared to February 2024. Sales were down 40.2%, and active listings were up 126% compared to February 2024.
The Fraser Valley Real Estate Board, which includes Surrey, recorded 920 sales in February, up 13% from January but 26% below housing sales in February 2024. The average home price in February in Surrey was about $1.1 million, up 9.3% from January.
“As long as this uncertainty persists,” said Scotiabank’s Perrier, “we do not expect a significant recovery in housing resale activity.” He added that if tariffs are implemented and they “turn out to be steeper than what we expect, then housing markets and prices will likely exhibit additional weakness in the coming months.”
While sales have declined in traditionally expensive markets like Greater Toronto, Hamilton-Burlington, and Vancouver, this shift presents a unique opportunity for buyers. This is especially true for the condo market, which has seen increased inventory.
The February price decline and another interest rate drop from the Bank of Canada in mid-March created home-buying opportunities for newcomers in the Canadian housing market.
With less competition, falling prices, and interest rate cuts, newcomers may be in a stronger negotiating position. They may now be able to buy homes that would have been out of reach in a more competitive market.
However, TD senior economist Leslie Preston said that while interest rate cuts should support more housing sales, it will take more than that to spur a market turnaround. “As long as the U.S. keeps the threat of punitive tariffs alive, confidence in the housing market is likely to be under a cloud.”
With so much economic uncertainty due to the U.S./Canada trade war, sellers may be anxious to sell, but buyers remain cautious. This can help lower Canadian home prices and is good news for newcomers entering the housing market.
These action steps can help you navigate the housing market in Canada and find affordable housing options:
WRITTEN BY
Steve Tustin
Senior Editor, Prepare for Canada
Steve Tustin is the Editor for Rentals for Newcomers and a contributing editor for Prepare for Canada. He is also the former managing editor of Storeys.com and a former senior editor at the Globe and Mail and the Toronto Star.
© Prepare for Canada 2025
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