If you noticed more “For Sale” signs cropping up in your neighbourhood last month, it’s not just you. In its January report, the Canadian Real Estate Association (CREA) noted an influx of new listings coming on stream, with the tariff threat being a key factor in the trend.

We saw an 11-per-cent increase in new supply posted to Canadian MLS Systems in January compared to December – the largest seasonally adjusted monthly increase in new listings since the late 1980s, outside of the impacts of COVID-19. Year-over-year, listings were up 12.7 per cent. By the end of January, there were 136,000 properties listed on the MLS – a healthy increase, but still below the long-term average for this time of the year, which is around 160,000 listings. Meanwhile, home sales were down 3.3 per cent month-over-month, a trend that largely transpired in the final week of January, before the US and Canadian governments agreed to delay deployment of tariffs on both sides. Whew.

However, any perceived relief was short-lived, with President Trump signing executive orders to impose the 25-per-cent tariff on all steel and aluminum imports into the U.S., starting March 12. In addition, the March 4 deadline looms of a 25-per-cent tariff on all Canadian imports including lumber, and a 10-per-cent tariff on Canadian oil.

The tariffs introduced by Trump in the U.S. have a 30-day respite but still loom large over the Canadian economic landscape, with the most significant trade war in the history of the two allied nations a distinct possibility. The impact to Canadian businesses and jobs is expected to be significant. It has the potential to re-introduce significant inflationary pressures to the economies of the Americas (Canada, the U.S. and Mexico). Furthermore, tariffs would be likely to increase construction costs and serve to slow building activity in Canada even further, tightening the nation’s already woefully inadequate housing supply. Prices for new construction would also climb.

In a televised press conference in Montreal today, Prime Minister Justin Trudeau said Canada is focused on ensuring the U.S. doesn’t make good on its tariff threat. “If ever there are tariffs brought in Canada, our response will be immediate and strong, but we don’t want that. We are going to do the work to make sure they don’t come on.”

Despite the ongoing efforts, we’re starting to see impacts on the housing market on our side of the border.

“The standout trends to begin the year were a big jump in new supply at an uncommon time of year, as well as a weakening in sales which only showed up around the last week of January,” said Shaun Cathcart, CREA’s Senior Economist. “The timing of that change in demand leaves little doubt as to the cause – uncertainty around tariffs. Together with higher supply, this means markets that had been steadily tightening up since last fall are now suddenly in a softer pricing situation again, particularly in British Columbia and Ontario.”

On a year-over-year basis, January home sales edged up 2.9 per cent while average price saw a 1.1-per-cent bump, bringing it to $670,064.

With sales down and supply up, Canada’s sales-to-new listings ratio now sits at 49.3 per cent, down from the mid- to high-50s we experienced at the end of 2024, and consistent with conditions typical of a balanced market.

“While we continue to anticipate a more active spring for the housing sector, the threat of a trade war with our largest trading partner is a major dark cloud on the horizon,” said James Mabey, CREA Chair. “While uncertainty about the economy and jobs will no doubt keep some prospective buyers on the sidelines, a softer pricing environment alongside lower interest rates will be an opportunity for others.”

If you’re ready to jump on that opportunity, contact a member of the Viani Real Estate Group to help you navigate the ups and downs of the process.

Courtesy REMAX.ca

Today’s real estate market is a wild ride, but you’re not in it alone. Experts are here to demystify the process, whether it’s your first purchase or you’re upgrading. The journey can be complex, but a good Realtor can make a world of difference, helping you navigate the twists and turns with ease. Here, three of Canada’s top REALTORS® share tips and tricks to put you on the road to success.

Tip #1

Define a few parameters to get started.

Understanding your financial situation and the market dynamics are crucial to developing a solid home buying strategy. There can be a lot to consider and it could be overwhelming. A Realtor can help you map everything out.

“The first step is to contact a Realtor and a mortgage broker,” says Ben Sweet, a Calgary-based realtor and sales representative. “A Realtor is going to outline the steps for you specifically, and the mortgage broker is going to be the one who will take care of the financial steps.”

“The number one thing is to get your finances preapproved,” says Mark Arnstein, a realtor and sales representative in Toronto. “You then know where you stand and can work within those margins. There’s nothing worse than falling in love with a property and then realizing you can’t afford it.”

His advice is to talk with the bank you already do business with, as well as at least two other people – one other traditional institution and an independent mortgage broker.

St. John’s-based realtor and sales representative Winnie Lei, advises homebuyers to carefully consider all the costs, including closing costs like the lawyer fees and the home inspection, as well as the utilities and maintenance costs, the commuting costs and even the price of any new furniture.

She also thinks that the earlier you start looking, the better. “I have people who talk to me as early as a year before their purchase,” she says. “I send them updates and listings within their budget. So, by the time they’re ready to shop, they have a decent understanding of what is within their budget.”

Tip #2

Ask yourself: Where do I see myself living?

Picking a place isn’t just about price tags; it’s about finding a community that matches your vibe and lifestyle.

“From the first meeting, most people should already be able to decide – OK, I prefer to be in this area, even though the houses are older, or I want to be in a newer house, even though it’s a longer commute,” Lei says.

“A lot of times, if people have been renting in a certain area and really like it, they will look for something in that neighbourhood,” Arnstein says. “We will go out and see what gets you excited and what doesn’t, gauging your reaction to the properties. Once we know what the buyer is looking for, we can narrow it down.”

Tip #3

Dream big, but know when to compromise.

While you might be aiming for the stars, it’s crucial to keep your feet on the ground. Outline what you absolutely need versus what you can live without. Keep an open mind and don’t discard a property even if it’s not what you were expecting for your budget. A good Realtor can help you see beyond the surface and imagine the possibilities.

Lei finds this is very challenging for many, especially in a market that is constantly growing, “the prices increasing while your budget stays the same. My suggestion is to start looking at the lower end of the budget first – a little bit below their maximum,” she says.

“In Calgary, what cost $500,000 four years ago is now $650,000,” Sweet says. “Buyers need to continually adjust their expectations for what they’re able to get. They will say, ‘If I need this much space, I need to go farther away from my chosen area of the city,’ or ‘I need to settle for one less bedroom or no garage.’”

“The goal is to get as close to everything you want as you possibly can,” Arnstein adds. “And anything else we can get on top of that is gravy.”

Don’t skip the home inspection.

Sweet warns against bypassing this crucial step: “Buyer beware! I tell people that there are three reasons we do a home inspection: One, to make sure there’s nothing about the property that’s going to render it dangerous or unfit for habitation. Two, it gives us the opportunity to potentially renegotiate if we do find issues that are expensive to fix. And three, it’s going to give us a maintenance schedule going forward.”

But that’s not all – a home inspection can reveal hidden opportunities. For instance, discovering minor issues that might not be deal-breakers but can lead to additional negotiation room, such as asking the seller to cover closing costs or include certain appliances in the deal. Additionally, understanding the property’s current condition helps you plan for future upgrades, potentially increasing the home’s value over time.

Sweet emphasizes that a home inspection isn’t just about spotting problems – it’s about giving you the full picture so you can make informed decisions.

Tip #5

Expect emotions to run high.

“Buying a home can be emotional, particularly for the first-time buyer,” Arnstein says. “We handle it with lots of education and making sure they understand what it is they’re doing, so they feel comfortable about it. We want them to be more excited than freaked out.”

Lei likes to point out how many other people have lost out on a sale, so buyers realize that they’re not alone. “Plus, a lot of the time, once buyers see something new to pursue, the previous emotions pass fairly quickly.”

Sweet says his team tries to manage the expectations of the purchasers, letting them know that the negotiations are going to be nerve-wracking. “There’s always going to be a little bit of fear and stress – it’s a big commitment,” he says. “That’s not a bad thing, it’s just something to understand, a part of the transaction.”

Tip #6

Compatibility counts.

“You want to work with someone you like,” Arnstein says. “Do they understand you? Are they listening to you and what your needs and wants are? I want my clients to be absolutely thrilled when they buy a home.”

Lei emphasizes the importance of availability in this fast-paced market: “A listing can come up at noon and be sold by 6 p.m. Your Realtor will get back to you quickly so you don’t miss opportunities.”

Sweet encourages speaking with multiple agents to find the right fit: “Don’t just go with the first one you meet. You need to feel a good connection, to feel comfortable – and to trust your gut.”

Tip #7

Revisiting your preapproval could unlock new opportunities.

Securing a preapproval loan is a critical first step in the home-buying process, but Lei suggests taking it further in light of recent rate drops: “Someone may get approved for $400,000 and then, if the rates go down, they could get preapproved for 10 or 20 more,” says Lei. “If they keep updating, they may be surprised.”

To prepare for future payments, Arnstein recommends starting a reserve account early, especially if you’re considering a condo with mandatory amenity fees.

Sweet adds, “Think of your first purchase as a stepping stone in your long-term homeownership journey. Focus on what you need right now for a shorter time frame over the next three to six years.”

Courtesy: The Globe & Mail

Following three consecutive years of limited supply choice, inventory levels in January rose to 3,639 units. While the 70 per cent year-over-year gain is significant, inventory levels remain lower than the over 4,000 units we would typically see in January. Inventories rose across all property types, with some of the largest gains driven by apartment-style condominiums.

“Supply levels are expected to improve this year, contributing to more balanced conditions and slower price growth,” said Ann-Marie Lurie, Chief Economist at CREB®. “However, the adjustment in supply is not equal amongst all property types. Compared with sales, we continue to see persistently tight conditions for detached, semi-detached and row properties while apartment condominiums show signs of excess supply for higher priced units.”

Citywide, the months of supply reached 2.5 months in January, an improvement over the one month of supply reported last year, but it is still considered low for a winter month. The month of supply ranged from under two months for semi-detached properties to 3.5 months for apartment-style units.

Rising supply resulted from a boost in new listings compared to sales. New listings rose to 2,896 units in January, compared to 1,451 sales. Sales in January were down by 12 per cent compared to last year. However, even with a pullback in sales, levels remained nearly 30 per cent higher than levels typically recorded in January. 

The total residential benchmark price in January was $583,000, which is relatively stable compared to levels reported at the end of last year and nearly three per cent higher than last January. Price growth ranged across districts within the city as well as property types. 

Detached

Driven by gains from homes priced above $600,000, new listings reached 1,228 units in January, which is 29 per cent higher than last year. At the same time, sales activity slowed to 674 units, which brought levels in line with long-term trends. The improvement in new listings relative to sales did help support inventory gains. However, the 1,448 units in inventory are still nearly 27 per cent lower than levels we traditionally see in January, and the months of supply remained relatively low at just over two months. 

While conditions are not as tight as last year, there is some variation within the city districts as more balanced conditions are taking shape in the City Centre and North East districts. In January, the unadjusted benchmark price was $750,800, slightly higher than last month and seven per cent higher than last January. On a seasonally adjusted basis, prices have remained relatively stable since the second half of last year.

Semi-Detached

Like other property types, gains in new listings relative to sales helped support some gains in inventory levels. While the semi-detached sector represents a relatively small share of activity in our market, sales in January did improve over last year, keeping the months of supply just below two months. Within the city, there is some significant variation, as the City Centre, North East, and West districts are all reporting near or above three months of supply, while all other districts have less than two months of supply.

The unadjusted benchmark price in January was $673,600, slightly lower than last month but over eight per cent higher than levels reported last January. The districts with higher months of supply also reported some modest monthly price declines, offsetting stable to modest gains in the North, North West, South, South East, and East districts.

Row

In 2024, there were 4,647 row home sales, a gain of over two per cent compared to last year and the second-highest total on record. The growth in sales was possible thanks to the 18 per cent gain in new listings, most of which occurred for homes priced above $400,000—the gains in new listings relative to sales supported inventory growth in 2024.

By the year's end, supply improvements helped take the pressure off home prices. However, the annual benchmark price rose by 14 per cent as conditions favoured the seller throughout the year. Prices rose across all districts in the city, with the gains ranging from a low of 12 per cent in the City Centre to over 20 per cent in the most affordable districts in the North East and East.

 Apartment Condominium

January reported a boost in new listings compared to sales activity. This caused inventory levels to rise to 589 units, more than double the near-record low levels reported last January. The recent rise in new listings has helped bring inventories to levels that are more consistent with long-term trends. At the same time, the months of supply also improved, pushing above two months, a trend that started to play out over the second half of last year. 

Improving supply relative to sales has taken some of the pressure off home prices, but not consistently across the city. Citywide, the unadjusted benchmark price was $444.900, slightly lower than last month and nearly five per cent higher than last year. While prices are higher than last year across all districts, the largest monthly adjustment occurred in the North East district. 

REGIONAL MARKET FACTS

Airdrie

Sales in January remained in line with levels reported last month and last year, which were well above long-term trends. However, thanks to a boost in new listings, inventory levels improved, and the months of supply remained above two months for the fifth consecutive month. While 2.6 months of supply is below historical trends for Airdrie, it is a significant improvement over the under two months that has persisted since 2021. More supply in the resale and new home markets has taken some of the pressure off home prices. The unadjusted benchmark price in January was $537,300, down over last month but nearly four per cent higher than last year. 

Cochrane

Like other areas, Cochrane is seeing improved levels of new listings and inventories in their market. There were 104 new listings in January compared to 71 sales, and inventories pushed up to 156 units. January inventory levels are better than levels reported over the past three years but still fall short of long-term trends for the month. Like Airdrie, it has been the fifth consecutive month with the months of supply above two months, easing the upward pressure on home prices. The unadjusted benchmark price in January was $565,900, down over last month but nearly five per cent higher than last January. 

Okotoks

Unlike Cochrane and Airdrie, new listings in Okotoks remained relatively low compared to last year. While the pullback in sales did help support some improvements in inventory levels, the 68 units available in January are still half the levels that were available in January prior to the pandemic. Limited supply has driven much of the price gains in this market since 2021. As of January, the unadjusted benchmark price was $614,900, a slight gain over last month and nearly five per cent higher than last year. 

 Click here to view the full City of Calgary monthly stats package.

Click here to view the full Calgary region monthly stats package.

 Courtesy: CREB