Image by: unsplash

The Canadian housing market is exhibiting signs of transitioning toward a buyers' market on a national scale, as indicated by the declining sales-to-new-listings ratio (SNLR). According to the Canadian Real Estate Association (CREA), the SNLR has been decreasing since November 2024, reaching 46.8% in April 2025. While this figure approaches the buyers' market threshold of 45%, CREA's Senior Economist, Shaun Cathcart, cautions that the SNLR reflects market direction rather than current conditions. He emphasizes that sustained low ratios over several months are necessary to significantly increase inventory levels and firmly establish a buyers' market. As of April, the national months of inventory stood at 5.1, still below the 6.4 months that would indicate a buyers' market.

However, market conditions vary across different regions. For instance, Montreal and Edmonton are experiencing seller-favored markets, with SNLRs of approximately 66% and 68%, respectively. In contrast, Calgary and Ottawa exhibit more balanced markets, with SNLRs around 55% and 50%. Toronto and Vancouver, Canada's most expensive metropolitan areas, are facing challenges due to a crisis of confidence stemming from trade tensions. In Toronto, for example, there were 5,601 sales and 18,836 new listings reported last month, indicating a significant imbalance favoring buyers.

Despite these trends, the transition to a buyers' market is not uniform across the country. While some regions are approaching or have entered buyers' market territory, others remain balanced or continue to favor sellers. This regional variability underscores the importance of localized market analysis for prospective buyers and sellers. As the national market continues to evolve, monitoring these regional dynamics will be crucial for making informed real estate decisions.

Read the full article: STOREYS