Canada housing market forecast for 2026 rebound

Canada's housing market is forecast for a strong rebound in 2026 after a downturn, with national home sales expected to surge 7.7% to 509,000 units—the strongest growth since 2021. The average price is stabilizing at $699,000 with 3.2% growth despite declines in Ontario urban areas, while British Columbia leads the recovery with a 12.6% sales increase and Alberta adds 5.1% growth momentum. Stable interest rates through 2026 are supporting resales via affordable mortgage rates, with pent-up demand from 2025 lows driving market recovery across major provinces. The housing market shows resilience as buyers find opportunities during stabilization.