Canada’s big‑city housing markets—Toronto, Vancouver, Montreal, and Calgary—face divergent trends in 2025. While supply shortages and low interest rates propelled prices to record highs, recent policy shifts and affordability pressures are beginning to cool certain segments. Here’s a city‑by‑city snapshot.
🌆 Toronto & Vancouver
- Price Moderation: Foreign‑buyer taxes and stress tests temper speculative demand. Average home‑price growth slows to 2–4 %.
- Condos vs. Houses: High‑rise condos remain in demand from downsizers and investors, while single‑detached homes see slower sales.
🇨🇦 Montreal & Ottawa
- Balanced Market: Montreal’s lower price base and growing tech sector support steady activity.
- Government Housing: Ottawa ramps up subsidized rental construction to alleviate public‑sector worker shortages.
🏔️ Calgary & Edmonton
- Energy‑Linked Cycles: Booms in oil prices revive buyer confidence. Prices edge up modestly, especially in multifamily properties.
- Affordability Advantage: Lower entry costs attract interprovincial migrants seeking value.
📊 Policy & Outlook
- Zoning Reforms: Ontario and BC pilot “missing‑middle” housing to diversify stock.
- Mortgage Regulations: Continued tightening may limit over‑leveraged purchases but protect financial stability.
🔚 Conclusion
Canada’s housing markets in 2025 are transitioning from frenetic growth to a more measured pace. Regional dynamics and policy interventions will shape affordability and investment returns over the next few years.
