Residential Market Commentary - Spring market finally blooms

The annual spring real estate market waited until May to bloom this year but the blossoms are not quite as plentiful as last year. 

The Canadian Real Estate Association reports home resales rose 5.5% compared to April, but were 5.1% below May of 2025. 

“Like the weather in many parts of Canada this year, the spring market appears to have been delayed by a month or so, but the May numbers left little doubt that activity is now picking up,” said CREA Chair Garry Bhaura.  

The most vigorous growth occurred in Ontario with an 8.8% gain over April’s numbers.  The Greater Toronto Area posted a strong 10% month-over-month increase. Neighboring Mississauga and York Region also registered double-digit gains.  Interestingly, the Ontario resale gains come even though there is a highly promoted HST rebate on new builds in the province. 

The country’s other big and busy market, the Greater Vancouver Area, has also seen renewed interest.  It posted a 6.6% jump in sales.  Calgary (-2.5%) and Edmonton (+0.8%) were generally flat while Winnipeg was the western stand-out with a 12.6% month-over-month increase in sales. 

Moving east, Montreal and Quebec City showed moderate gains as did markets in Atlantic Canada. 

The national average home price increased to $702,000, up 1.5% compared to May 2025.  CREA’s National Composite Home Price Index was down 4.1% on a year-over-year basis.