Canada’s housing market cooled slightly in September, but don’t be fooled by this slowdown, because the national housing market is still on the upswing, according to the Canadian Real Estate Association (CREA).

CREA’s national monthly sales report shows the 1.7% decline in September sales was driven by slower activity in Greater Vancouver, Calgary, Edmonton, Ottawa, and Montreal. Those decreases were greater than the increases in the Greater Toronto Area and Winnipeg. Still, despite the month-to-month slowdown, last month marked the busiest September since 2021.

According to Shaun Cathcart, senior economist at CREA, demand is far from gone. “While the trend of rising sales that began earlier this year took a breather in September, activity was still running at the highest level for that month since 2021, and that was true in July and August as well,” he said. Cathcart pointed to three years of pent-up demand and the return of more normal interest rates as reasons to expect continued upward momentum in sales into late 2025 and 2026.

For new homebuyers, that expectation matters. With demand building and activity likely to increase, today’s more balanced market could become more competitive in the months ahead.

Increased Stability in Pricing Bodes Well for Buyers

The national average home price stood at $676,154 in September; a 0.7% increase compared with the same month in 2024. The price growth is modest, but signs of stability are growing after sharper fluctuations earlier in the year.

For buyers, this means prices have largely flattened in recent months, creating an environment with fewer rapid shifts. Stability can help first-time buyers plan more confidently.

At the end of September, there were 199,772 properties listed for sale across Canadian multiple listing services (MLS) systems, up 7.5% from 2024. Inventory levels are in line with long-term averages for this time of year, offering buyers more choice than they would have had in tighter conditions.

Less Availability Coming?

There were 4.4 months of inventory nationally at the end of September, and that’s the lowest since January. The long-term average is five months. Generally, anything below 3.6 months signals a seller’s market, while above 6.4 months points to a buyer’s market. Current conditions remain balanced, but buyers should note that the trend is leaning slightly toward tighter supply.

Valérie Paquin, CREA’s chair, acknowledged that while there are more buyers now than in recent years, overall activity is still below average. “As such, we expect things will continue to steadily pick up going forward,” she said.

What Buyers Can Do Now?

• Get pre-approved for financing: With interest rates stabilizing, buyers can lock in rates and know their budget before competition increases.

• Watch inventory trends: With 4.4 months of supply, conditions could tighten. Buyers should act before listings decline further.

• Act while conditions are balanced: More inventory and modest price growth create opportunities to negotiate that may not exist if demand rises further.

• Stay alert for competition: As sales momentum builds into 2026, buyers who wait may face bidding pressure.

The Bottom Line
For new homebuyers, September’s data shows a market that is stable but gaining momentum. Conditions are stable for now, with minimal price increases and a solid stack of inventory, offering more choices for home shoppers. However, with demand expected to rise and competition likely to strengthen into 2026, buyers who act sooner may find themselves in a more favorable position than those who wait.

Should You Buy Now or Wait? September 2025’s Housing Numbers Give Buyers A Clue by Erin Nicks | Livabl