Canada's housing market has cooled off a bit, with activity down roughly 7% year-over-year and national sales dipping just under 1% month-over-month. Buyers are clearly weighing the impact of ongoing trade tensions, shifting oil prices, and those persistent inflation concerns. Higher Canada bond yields have nudged fixed mortgage rates upward, adding another layer of pressure for anyone considering a move. Despite all this, industry experts anticipate that activity will remain strong heading into late Q3 and Q4. The Bank of Canada has kept its policy rate steady, while inflation has hovered around 3% for the second month in a row. Some economists are predicting we could see rate cuts as early as 2027 if conditions improve, though for the rest of 2026, the outlook is for either no change or a minor hike. A new US trade deal could be the biggest catalyst for a market rebound. For buyers and sellers in areas like Surrey, Vancouver, and Abbotsford—where I've been helping clients navigate these changes—it's smart to keep a close eye on the next 6 to 12 months and be ready to act when the time is right.
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