Buyers Are Returning
- Home sales rose 3.6% in May — the first monthly increase in over 6 months¹.
- While it’s not a full rebound, buyer confidence may be returning after a long pause.
Prices Are Still Climbing
- The average home price in Canada hit $691,299, up nearly 2% from April².
- Even though mortgage rates haven’t changed much, qualifying is harder due to higher prices².
Rates: Holding Steady (for now)
- Fixed rates remain around 4% – 4.5%, while variable rates are slowly trending down³.
- No Bank of Canada change this month — but inflation and trade risks may delay future cuts.
Long-Term Affordability Outlook
- CMHC says Canada is unlikely to return to 2004-level affordability.
- Even if we double housing construction, the best case is reaching 2019-level affordability by 2035⁴.
- That’s a clear signal: today’s numbers matter more than waiting for perfect conditions.
My Take
For clients planning a move, upsizing, or looking at refinancing — it’s a good time to revisit the numbers. Prices are inching up, and the path to rate relief is still uncertain.
Sources:
¹ Canadian Press via Canadian Mortgage Trends, June 16, 2025
² Canadian Mortgage Trends, June 20, 2025 (CREA data)
³ Canadian Mortgage Trends, June 2025 national lender survey
⁴ CMHC report summary via Canadian Mortgage Trends, June 20, 2025