It’s Still a Buyer’s Market in Canada — But Don’t Wait Too Long
Image courtesy of Daily Hive
With the Bank of Canada holding its key interest rate steady at 2.75% earlier this month, many Canadian homebuyers are wondering: Should I wait for rates to drop even further? Or is now the time to buy?
Despite economic uncertainty, inflation, and the ripple effects of U.S. tariffs, experts agree — Canada remains a buyer’s market. But the window of opportunity may not stay open for long.
📉 What’s Happening in the Market Right Now?
According to the Canadian Real Estate Association (CREA), home sales are slowly bouncing back — up 3.6% from April to May — but they’re still down nearly 10% compared to this time last year.
We’re seeing a clear divide in how different housing types are performing:
Detached homes and semis are in high demand, with low supply pushing prices upward.
Condos, especially in expensive cities like Toronto and Vancouver, are oversupplied and struggling — prices are down 6% compared to last year.
This means more choices and more negotiating power for buyers, especially those considering condos or properties in less competitive markets like Winnipeg or Saskatoon.
💸 Why This Matters to You: A Real-Life Example
Let’s say you’re a first-time homebuyer in the GTA, looking at a one-bedroom condo priced at $600,000. A year ago, you might have been one of 10 offers — pushing the sale price even higher.
But today? That same unit could be sitting on the market, unsold. With sellers getting nervous and inventory piling up, you might be able to negotiate the price down to $570,000 — or even less.
Let’s break down the savings:
Purchase price: $570,000 instead of $600,000
Down payment (10%): $57,000
5-year fixed mortgage rate: ~4.9%
Monthly payment: ~$3,025 instead of ~$3,180
That’s nearly $155/month saved, or $9,300 over 5 years.
And remember — the more you save on the purchase price, the less you pay in interest over time. Even with steady mortgage rates, getting the right deal right now can set you up for long-term success.
🛑 But Don’t Sit on the Sidelines Too Long…
While buyers currently have the upper hand, experts warn that this balance may start to shift.
Inflation pressures and geopolitical concerns are driving bond yields higher, which means fixed mortgage rates may soon rise — even if the Bank of Canada keeps its rate unchanged. If that happens, affordability could decline, and your monthly costs could go up even if home prices stay flat.
Plus, more buyers are starting to return to the market. As demand rebounds, competition could increase — and your negotiating power could disappear.
🤝 How Mr. Mortgage Can Help
Timing the market perfectly is nearly impossible — but navigating it wisely is what I do every day.
As a licensed mortgage agent, I help clients:
Compare today’s best fixed and variable rates
Get pre-approved with flexible conditions
Find the right mortgage solution based on your goals and budget
Strategically plan for the long term — whether you’re buying now or later
If you’re thinking about buying your first home, upgrading, or investing, let’s talk. I’ll help you understand your options, avoid common pitfalls, and take advantage of today’s buyer-friendly market while it lasts.
📲 Call or text me at (647) 554-2718
Don’t wait for the market to turn — let’s build your plan now and make your next move the right one.
