The province is bucking the trends of other Canadian markets with high competition and strong sales activity
Sales slowdowns and falling prices across a range of Canadian housing markets have been among the mortgage stories of the year so far, with headline-grabbing cities like Toronto and Vancouver still in the midst of a sharp homebuying correction.
But that’s far from the case in Saskatchewan, where September sales hit their second-highest total ever recorded for the month and stretched a streak of above-average activity to 27 months.
Sales jumped by 10% compared with the same time last year, rising 26% above the province’s 10-year average, while prices also ticked higher – by 7% over September 2024.
In other markets, momentum has swung in favour of buyers, who now have greater negotiating power because of falling competition.
Saskatchewan, though, is experiencing the opposite. “We’re still seeing an absolute lack of inventory and lots of clients sitting preapproved, waiting in specific areas,” Shawna MacDonald (pictured top), a Saskatoon-based mortgage broker with The Mortgage Associates, told Canadian Mortgage Professional.
Plenty of sellers are listing their houses under market value to drum up interest, according to MacDonald, and then allowing prospective buyers to compete on offers. “That’s really driving up the housing market and increasing price points,” she said.
“Because all of those are going for much over asking price. And then the next house that gets sold, of the same square footage, is worth what that house next door sold for in a competing market.”
The residential benchmark price of a home in Saskatchewan sat at $368,300 in September – marginally lower than the previous month, and well below the national average.
That comparative affordability even despite the booming current market is a good sign for Saskatchewan, MacDonald said. “But we definitely have not seen a slowdown.”
How are first-time homebuyers faring?
High competition and a wave of other offers can often complicate the picture for first-time buyers, who are sometimes frozen out of a deal when the price shoots up, but the outlook still appears generally good for new buyers in Saskatchewan.
“Certain price points are obviously more competitive,” MacDonald said. “From a first-time homebuyer perspective, I’d say we’re still able to get people into what they’re looking for, or into their price points.”
Interest rates on both the fixed and variable sides have slid lower in recent months, bolstered by a Bank of Canada rate cut in September, while a recent rule change allowing first-time buyers to access expanded 30-year amortizations has also helped improve affordability.
And those longer amortizations have been helpful for plenty of different buyer types. “We work with a lot of divorcees and people going through separations,” MacDonald said. “And the beautiful thing about this first-time homebuyer program is that the government actually recognizes those people.
“So it’s not only first-time homebuyers. It’s been helpful to people going through those transitions as well.”
Momentum set to continue
While the market is thundering along at the moment, that’s not to say activity will remain at its current elevated levels forever.
But MacDonald remains optimistic about the long-term future for Saskatchewan housing and prospects for the mortgage industry there. “What typically happens in other provinces rolls downhill,” she said. “But we’re just trying to help as many clients as possible, working the database to get people out of those higher rates into lower rates.
“If you look at historical data, interest rates are historically low if you remove those pandemic numbers. So it’s just about educating clients. We’re super fortunate to be doing what we’re doing.”
And the Saskatchewan Realtors Association (SRA), too, sees no sign that activity is about to fall through the floor anytime soon.
“We’re 20% higher than the 10-year average through the first three quarters of 2025,” the Association’s chief executive officer Chris Guérette said in comments accompanying its latest data release.
“While transaction volumes in the coming months will ease with seasonal trends, the sustained demand we’re seeing is beyond impressive, and all signs point to continued momentum as we look to finish the year strong.”
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