Canada’s Market Split in 2025: What Buyers and Sellers Need To Know
Team Olivieri
Monday, August 11, 2025
Canada’s housing market is no longer moving in one direction. Some areas are cooling off, while others remain competitive. This divide — often called a market split — is the key story for the rest of 2025.
Home Prices: Not Dropping Everywhere
While some buyers are hoping for a price crash, most experts expect modest national growth of 1.5% to 2%. A few regions may see slight price drops (around -3.5%), but others are holding strong due to low inventory.
“High rates and more listings are softening prices in some markets — but it’s not a crash.” – NAHB
With home values still up over 55% compared to 5 years ago, most sellers are in a strong equity position — and buyers shouldn’t expect major discounts.
Rates Staying Higher for Longer
Many hoped for big drops in mortgage rates this year — but that’s unlikely. Experts now expect rates to remain around the mid-6% range through late 2025.
"If you're waiting for rates to fall, you could be waiting a while." – Yahoo Finance
The takeaway? Don’t delay based on rate speculation. Focus on long-term affordability and strategy.
Local Conditions Matter Most
The biggest shift in 2025 isn’t national — it’s regional.
Some neighbourhoods are still seeing bidding wars. Others have cooled, giving buyers more leverage. Knowing where your local market sits on that spectrum is crucial.
What This Means for You
Canada’s real estate market isn’t moving in one direction anymore. Whether you’re looking to buy, sell, or just make sense of what’s happening in your area, it all comes down to understanding your local split.
Curious where your neighbourhood stands? Let’s chat. We’ll break it down together and figure out your best next move.
Home Prices: Not Dropping Everywhere
While some buyers are hoping for a price crash, most experts expect modest national growth of 1.5% to 2%. A few regions may see slight price drops (around -3.5%), but others are holding strong due to low inventory.
“High rates and more listings are softening prices in some markets — but it’s not a crash.” – NAHB
With home values still up over 55% compared to 5 years ago, most sellers are in a strong equity position — and buyers shouldn’t expect major discounts.
Rates Staying Higher for Longer
Many hoped for big drops in mortgage rates this year — but that’s unlikely. Experts now expect rates to remain around the mid-6% range through late 2025.
"If you're waiting for rates to fall, you could be waiting a while." – Yahoo Finance
The takeaway? Don’t delay based on rate speculation. Focus on long-term affordability and strategy.
Local Conditions Matter Most
The biggest shift in 2025 isn’t national — it’s regional.
Some neighbourhoods are still seeing bidding wars. Others have cooled, giving buyers more leverage. Knowing where your local market sits on that spectrum is crucial.
What This Means for You
Canada’s real estate market isn’t moving in one direction anymore. Whether you’re looking to buy, sell, or just make sense of what’s happening in your area, it all comes down to understanding your local split.
Curious where your neighbourhood stands? Let’s chat. We’ll break it down together and figure out your best next move.
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