Canada Housing Market Report May 2026
Canada’s national housing market shows signs of stabilization amid ongoing affordability challenges.
As of May 2026, Canada’s national housing market shows signs of stabilization amid ongoing affordability challenges. The national average home price reached approximately $695,000 in April 2026, up about 3.3% month-over-month but with modest year-over-year growth around 2%. The MLS Home Price Index edged slightly lower year-over-year, indicating mixed conditions. Sales activity increased modestly month-over-month (around 5.5% in May), though remaining below prior-year levels in some reports.
| CANADA: AVERAGE HOUSE PRICES. MAY 2026 | ||
| CITY | AVERAGE HOUSE PRICE | Y/Y % Change |
| CANADA | $702,079 | 1.5% |
| Calgary | $573,000 | -1.8% |
| Edmonton | $425,200 | -1.6% |
| Halifax | $572,700 | 0.6% |
| Montreal | $593,400 | 2.5% |
| Ottawa | $635,300 | -0.6% |
| Quebec City | $441,700 | 5.8% |
| Saskatoon | $444,400 | 3.2% |
| Toronto | $946,500 | -6.7% |
| Vancouver | $1,100,700 | -6.2% |
| Winnipeg | $401,200 | 3.8% |
| Source: CREA 2026 | ||
Housing Affordability Across Canada in May 2026
In May 2026, Canada’s housing affordability remained highly constrained, though it showed tentative signs of price stabilization. According to the Canadian Real Estate Association, national home sales experienced a month over month jump of 5.5 percent as buyers cautiously re-entered a more balanced market. Despite this incremental bump in spring momentum, the actual national average sale price rose 1.5 percent year over year to $702,079, breaking past the $700,000 threshold for the first time in nearly two years.
National Bank of Canada data highlights that mortgage payments as a percentage of income hovered around 52.3 percent, a slight improvement from prior quarters but still drastically elevated above the long term historical average of 40.6 percent. Prospective buyers continue to face an affordability divide, particularly in major urban centers where persistent supply shortages, stubborn construction costs, and strict borrowing limits keep entry level ownership out of reach for many household budgets.
