Earlier this month, we discussed the Bank of Canada’s decision to hold interest rates and what that could mean for Canada’s housing market. Now, a few weeks later, the reality on the ground is clear: the expected spring surge hasn’t materialized—at least not yet. The market remains soft, and buyers are firmly in control.
- Spring Market: Still Waiting for Lift-Off
Despite expectations that clarity around interest rates and trade uncertainty might kickstart activity, we’re still seeing hesitant buyers and slow sales. Inventory is building, and the competition is fierce—particularly for sellers. - Buyer's Market in Full Swing
The current sales-to-listing ratios and inventory levels reflect a true buyer's market, especially at the top and bottom price tiers. With more options available and less pressure to compete, buyers are taking their time and negotiating confidently. - Sellers: Pricing to the Market Is Non-Negotiable
In today’s climate, strategic pricing is everything. Homes priced near their BC Assessment are drawing attention; those priced optimistically are being left behind. Presentation still matters, but overpricing can cost you valuable time and showings. - Economic Drag Still Looms
National economic data reinforces what we’re seeing locally:- Unemployment is up, especially in trade-related sectors.
- Consumer confidence is down.
- Inflation remains sticky, with companies planning to pass rising costs onto consumers.
- Q2 GDP is expected to weaken as the initial boost from inventory buildup fades.
- Looking Ahead: Eyes on July 30th
While there’s speculation that the BoC could make a small rate cut at the end of July, the Bank remains cautious. Tariff pressures, inflation trends, and consumer behaviour are all being closely watched. Unless a substantial rate drop occurs, affordability challenges may persist for some time.
The market has shifted—and quickly. For buyers, the current environment offers rare negotiating power. For sellers, getting serious means pricing sharp and staying flexible. If you’re unsure how to approach your next move, our team is here to help you navigate with confidence. Give us a call at 250-545-9039.