April 2025 marked another subdued month for Canadian home sales, continuing the trend of quiet markets that have persisted since 2022. With many buyers still sitting on the sidelines and waiting for more decisive interest rate movement, national home sales slipped 9.8% compared to April 2024. Month-over-month, there was little change. Sales activity across Canadian MLS Systems edged down by just 0.1% from March, a modest movement that highlights the ongoing hesitation among buyers navigating high borrowing costs and economic uncertainty.
This spring is shaping up to be one of the quietest in recent memory, with activity levels in April closely resembling those seen in late 2022 and much of 2023. In fact, this month ranks among the slowest of April markets in the past five years.
“At this point, the 2025 Canadian housing story would best be described as a return to the quiet markets we’ve experienced since 2022, with tariff uncertainty taking the place of high interest rates in keeping buyers on the sidelines,” said Shaun Cathcart, CREA’s Senior Economist. “Given the increasing potential for a rough economic patch ahead, the risk going forward will be if an average number of people trying to sell their homes turns into a large number of people who have to sell their homes, and that’s something we have not seen in decades.
Home prices have also softened. The national average sale price dipped to $679,866 in April, down 3.9% year-over-year. The MLS Home Price Index (HPI), which adjusts for seasonality and housing composition, also fell by 1.2% from March and sits 3.6% below last year’s level. While some markets show signs of stability, the overall picture remains one of cautious optimism, with buyers and sellers waiting to see what comes from the next Bank of Canada rate announcement on June 4.
Sales Activity on the Rise in Key Quebec Markets
While many regions across Canada saw slower sales this spring, several cities in Quebec bucked the trend with notable year-over-year gains in April 2025. Sherbrooke CMA led the way with a 13.6% increase in residential sales, reaching 251 transactions. The Montreal CMA also saw strong growth, with 5,126 homes sold, up 10.4% from April 2024. Quebec CMA followed closely behind, recording 1,091 sales, marking a 12.1% increase year-over-year. These figures suggest that buyer demand in parts of Quebec is steady, even as national numbers show a broader market slowdown.
New Listings Surge in Sherbrooke, Calgary, and Hamilton-Burlington
Several markets also experienced a significant uptick in new listings this April, helping to boost inventory levels heading into the summer. Sherbrooke CMA saw a 32% increase in residential listings, with 330 homes added to the market. In Calgary, sellers also brought out more properties. A total of 5,227 new listings were recorded, a 15.1% year-over-year increase. Hamilton-Burlington also saw momentum, with 2,019 new listings representing a 14.7% gain compared to April 2024. This rise in inventory may offer some much-needed balance in local markets, especially as buyers remain cautious.
Niagara Leads Nation in Home Sales Decline
Sales activity dropped sharply in April 2025 across several major Canadian housing markets.
Leading the downturn, the Niagara Region saw residential sales plummet by 34.6% year-over-year, the steepest decline among all major markets.
The Fraser Valley followed closely, with a 30.2% drop in sales compared to April 2024, totaling just 973 transactions. Greater Vancouver also experienced a significant pullback, with sales falling 23.4% year-over-year to 2,157 homes sold. Meanwhile, home sales in the Greater Toronto Area also dropped significantly, falling 21.3% from 7,114 to 5,601.These steep declines highlight a cautious spring market as buyers remain on the sidelines.
Cooling Momentum in Year-over-Year Price Gains from March to April
While several regions continued to post substantial year-over-year price increases this month, the pace of growth moderated compared to March. In Saguenay, the average home price rose 9.1% year-over-year to $359,383, well below March’s 22.5% annual increase. Trois Rivières showed a similar shift, with prices up 10.7% in April versus 21.2% the month before. Sherbrooke’s year-over-year price gain also slowed, rising 12.6% to $510,512 in April compared to 20.9% in March. Even in Newfoundland & Labrador, where prices jumped 18.2% in March, the April increase came in at just 7.2%, alongside a notable month-over-month price drop. Regina followed suit with a year-over-year increase of 7.6% in April, down sharply from 17.6% the previous month.
In all five regions, the average home price in April was lower than in March, indicating that while prices remain elevated compared to last year, momentum is clearly easing month to month.
Soft Markets See Declines Deepen or Stabilize
In contrast, markets that had already been experiencing price declines saw either a continuation or stabilization of those trends. Greater Vancouver’s average home price fell to $1,217,837 in April 2025, down 6.6% year-over-year and slightly below the 5.8% drop recorded in March, showing a gradual deepening of the correction. Niagara Region, however, saw signs of stabilization: after a 4.9% decline in March, April’s prices were nearly flat year-over-year, down just 0.2% to $699,624.
London and St. Thomas even saw their market bottom out. Following a 4.6% annual decrease in March, prices in April held steady at $654,762, with no year-over-year change and a slight monthly increase of +0.3%. These shifts suggest that while growth is slowing in previously hot markets, price declines may decrease in areas that cooled earlier.
What This Market Shift Means for You
For buyers, the slower pace in today’s market could work in your favor. With prices easing in many areas and more listings to choose from, you might find greater flexibility and room to negotiate, especially if you’re not in a rush. On the other hand, sellers will need to be more strategic than ever. With demand cooling and inventory rising, standing out is key. That means working closely with an experienced agent to price competitively, market smartly, and adjust your approach based on real-time conditions. Start searching for listings on Zoocasa to get an idea of prices in your desired area.
Wondering what this could mean for your plans to buy and sell? A local agent can walk you through your options.
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