After years of turbulence — rising interest rates, volatile pricing, and hesitant buyers — the housing market may finally be turning a corner. According to the latest outlook, 2026 might deliver what many have been waiting for: improved affordability and steadier conditions.
This year has been cautious, but signs of renewed interest are emerging. Roughly one in ten people across Canada say they plan to purchase a home in the next 12 months. Softer prices, greater selection, and more stable market conditions are prompting many to reconsider their homebuying plans.
Notably, first-time buyers make up about half of those planning to buy soon — many of them younger adults who are revisiting their savings plans and looking to step onto the property ladder.
Even modest reductions in interest rates — a 0.5% to 1% dip — would significantly boost affordability and could trigger more purchases. With such decreases already happening, more buyers could feel comfortable making a move in early 2026.
Work-from-home policies and commuting demands are reshaping what homebuyers value. For many, transit access, commute times, and lifestyle flexibility are becoming as important as price. This shift is influencing how and where people search for homes.
Across many regions, markets are stabilizing. Some high-price areas are cooling, while in other regions pricing has stayed stable or grown modestly. Increased inventory and more listings have improved choices for buyers — a far cry from the extreme seller’s markets of recent years.
If current trends continue, 2026 may offer:
That said, challenges remain. Not everyone will find conditions ideal immediately. Rate fluctuations, economic headwinds, and regional disparities mean a careful and informed approach will still be important.
After years of turbulence — rising interest rates, volatile pricing, and hesitant buyers — the housing market may finally be turning a corner. According to the latest outlook, 2026 might deliver what many have been waiting for: improved affordability and steadier conditions.
This year has been cautious, but signs of renewed interest are emerging. Roughly one in ten people across Canada say they plan to purchase a home in the next 12 months. Softer prices, greater selection, and more stable market conditions are prompting many to reconsider their homebuying plans.
Notably, first-time buyers make up about half of those planning to buy soon — many of them younger adults who are revisiting their savings plans and looking to step onto the property ladder.
Even modest reductions in interest rates — a 0.5% to 1% dip — would significantly boost affordability and could trigger more purchases. With such decreases already happening, more buyers could feel comfortable making a move in early 2026.
Work-from-home policies and commuting demands are reshaping what homebuyers value. For many, transit access, commute times, and lifestyle flexibility are becoming as important as price. This shift is influencing how and where people search for homes.
Across many regions, markets are stabilizing. Some high-price areas are cooling, while in other regions pricing has stayed stable or grown modestly. Increased inventory and more listings have improved choices for buyers — a far cry from the extreme seller’s markets of recent years.
If current trends continue, 2026 may offer:
That said, challenges remain. Not everyone will find conditions ideal immediately. Rate fluctuations, economic headwinds, and regional disparities mean a careful and informed approach will still be important.
