Toronto shows first signs of stabilisation after months of declines
Canada’s housing market entered its busiest season on an uneven note in March 2026, with resale activity rising in some cities and falling in others, according to a new report from RBC Economics released Wednesday.
Robert Hogue, assistant chief economist at RBC, said buyers remain cautious amid a broad range of economic pressures, even as warmer weather arrived.
“Buyers still worry about many things from a trade war to a major geopolitical conflict, a tough job market, and strained affordability in parts of the country,” Hogue wrote.
Resale transactions increased in Toronto, Hamilton, Saskatoon, and Regina but declined in Vancouver, the Fraser Valley, Calgary, and Edmonton. Home values fell across British Columbia, Alberta, and Ontario, while prices rose in Quebec and parts of the Prairies and Atlantic Canada. RBC Economics said the mixed picture is expected to persist until economic uncertainty eases.
Toronto: First uptick in five months
The Greater Toronto Area showed tentative signs of stabilisation as spring began. Home resales rose 1.4% in March from February on a seasonally adjusted basis – the first monthly gain in five months, RBC Economics reported. Active listings also fell 8% from a year earlier, marking a second consecutive annual decline after a three-year inventory build-up pushed supply to decades-high levels in late 2025.
Despite the uptick in sales, conditions remained soft. The GTA’s MLS Home Price Index fell for a 10th straight month in March, down 0.6% from February and 7.4% from a year earlier, with RBC Economics citing strained affordability, tariff-related uncertainty, and challenging job prospects as key headwinds.
Montreal: Sales stall, supply builds
Recovery remained stalled in Montreal, with transactions edging down 0.4% in March from February on a seasonally adjusted basis, following a 0.2% decline the month before, RBC Economics estimated. New listings climbed to near four-year highs, though active listings remained roughly half of levels recorded more than a decade ago.
Home prices held firm. Median prices for single-family homes rose 6.9% from a year earlier, while condo prices gained 1.2% – a slower pace that RBC Economics linked to a 21% surge in active condo listings over the past 12 months.
Vancouver: Sharpest price drop since 2023
Vancouver’s composite MLS Home Price Index was down 6.8% from a year earlier in March – the steepest annual decline since spring 2023, when rapidly rising interest rates triggered a sharp market correction, the report said. Resale activity fell an estimated 4% between February and March on a seasonally adjusted basis.
New listings fell 10% from a year earlier, slowing a long-running inventory build-up. Active listings were up just 1.6% year-over-year, a sharp deceleration from a 15% rise as recently as December 2025. RBC Economics said an outright decline in inventory would likely be needed to halt the price slide.
Calgary: Balance holds, prices slip
Calgary’s market remained broadly balanced, with both sales and new listings falling at roughly the same pace in March, the report noted. Even so, the composite MLS Home Price Index was down 4.2% from a year earlier – its steepest annual decline in 10 years. RBC Economics attributed prolonged price weakness partly to a surge in homebuilding since 2022, with builders working on a record 26,000 units as of the report’s publication.
Tax rebates a potential catalyst
Across all markets, RBC Economics noted that recently announced tax rebates on new home purchases could accelerate sales of newly built homes in the near term.
