Nevertheless, there are some inexperienced shoots—the identical report signifies circumstances are beginning to agency up in some native markets, with month-to-month gross sales will increase beginning to eat into built-up stock. Total, although, market circumstances stay firmly in patrons’ favour—and that’s mirrored in right now’s residence costs, that are comparatively comfortable in comparison with the pandemic-era market. The nationwide residence value benchmark, which strips out the excessive and low gross sales extremes, stays 3% beneath 2024 ranges.
For anybody seeking to purchase a house in October, that meant respectable affordability circumstances in 10 of 13 of Canada’s main marketsin keeping with the newest affordability research from Ratehub.ca. This month-to-month report gauges how affordability evolves in actual time within the nation’s 13 largest city centres, primarily based on actual property information, mortgage charges, and the mortgage stress take a look at. Affordability is outlined by the quantity of earnings a purchaser would want to earn to qualify for a mortgage on the average-priced residence of their metropolis.
Mortgage charges had been largely unchanged over the course of the month, with reductions solely handed on by lenders in direction of the ultimate days of October, when the Financial institution of Canada minimize its benchmark charge by 1 / 4 of a proportion level, and bond yields dipped in response. The common five-year fastened mortgage charge used within the research stayed the identical as September at 4.47%, with a corresponding mortgage stress take a look at of 6.47%.
That meant for almost all of the month, residence costs had been the primary issue impacting affordability.
Let’s unpack how this impacted residence buying energy in markets throughout Canada in October.
Housing affordability throughout Canada’s main cities
The desk beneath exhibits how affordability developed between September 2025 and October 2025, in Canada’s principal housing markets, primarily based on the earnings required to qualify for a mortgage. Earnings required is predicated on the stress take a look at charges of 6.47% in each September and October, together with a mortgage charge of 4.47%.
| Metropolis | September common residence value |
October common residence value | Change in residence value | September mortgage funds | October mortgage funds | Chnage in month-to-month funds | September earnings required | October earnings required | Change in earnings required |
|---|---|---|---|---|---|---|---|---|---|
| Vancouver | $1,142,100 | $1,132,500 | -$9,600 | $5,848 | $5,799 | -$49 | $232,700 | $230,900 | -$1,800 |
| Hamilton | $753,300 | $747,200 | -$6,100 | $3,857 | $3,826 | -$31 | $158,550 | $157,400 | -$1,150 |
| Edmonton | $417,000 | $412,100 | -$4,900 | $2,135 | $2,110 | -$25 | $94,410 | $93,470 | -$940 |
| Ottawa | $627,200 | $622,700 | -$4,500 | $3,211 | $3,188 | -$23 | $134,500 | $133,640 | -$860 |
| Victoria | $877,900 | $873,600 | -$4,300 | $4,495 | $4,473 | -$22 | $182,310 | $181,500 | -$810 |
| Toronto | $960,300 | $956,800 | -$3,500 | $4,917 | $4,899 | -$18 | $198,030 | $197,360 | -$670 |
| Calgary | $567,900 | $565,200 | -$2,700 | $2,908 | $2,894 | -$14 | $123,200 | $122,700 | -$500 |
| St. John’s | $402,100 | $400,200 | -$1,900 | $2,059 | $2,049 | -$10 | $91,570 | $91,200 | -$370 |
| Regina | $337,000 | $335,100 | -$1,900 | $1,726 | $1,716 | -$10 | $79,150 | $78,800 | -$350 |
| Winnipeg | $381,500 | $380,800 | -$700 | $1,953 | $1,950 | -$3 | $87,650 | $87,500 | -$150 |
| Montreal | $578,900 | $581,500 | $2,600 | $2,964 | $2,977 | $13 | $125,300 | $125,780 | $480 |
| Halifax | $559,100 | $563,300 | $4,200 | $2,863 | $2,884 | $21 | $121,510 | $122,310 | $800 |
| Fredericton | $341,000 | $348,500 | $7,500 | $1,746 | $1,784 | $38 | $79,910 | $81,350 | $1,440 |
This report is for illustration functions solely. Information is predicated on a mortgage with a ten% down fee, 25-year amortization, $4,000 annual property taxes and $150 month-to-month heating. Mortgage charges are the common of the Large 5 Banks’ 5-year fastened charges in September and October 2025. Common residence costs are from the CREA MLS® Residence Value Index (HPI).
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Canadian cities the place affordability improved
The place in Canada is proudly owning a house turning into extra reasonably priced?
Amid firming borrowing prices and early indicators of recovering gross sales, only one housing market bucked the traits of worsening affordability.
Vancouver: Situations tilted in direction of patrons
Whereas nonetheless Canada’s most costly actual property market, the Metropolis of Vancouver skilled the best enchancment in affordability between September and October, as gross sales dropped and built-up stock continued to broaden. Based on information from the Higher Vancouver Realtors (GVR), residence gross sales decreased 14.3% yr over yr in October, remaining 14.5% beneath the area’s 10-year common.
That resulted within the common residence value to fall $9,600 on a month-to-month foundation, to $1,132,500, and the required earnings to buy a house by $1,800. Given this persistently excessive residence value threshold, patrons stay firmly on the sidelines; “Even the fourth minimize this yr to the Financial institution of Canada’s coverage charge this October wasn’t sufficient to entice extra patrons again into the market,” mentioned GVR Chief Economist Andrew Lis, within the board’s October launch.
Hamilton: Oversupply places the chilliness on value progress
Slower financial circumstances have additionally put the damper on Hamilton actual property; in keeping with the Realtors Affiliation of Hamilton-Burlington, October residence gross sales stay 34% typical ranges for the month, as persistently excessive provide ranges put downward stress on costs, says spokesperson Nicolas von Bredow.
“Many had been hopeful that the latest coverage charge minimize from the Financial institution of Canada would appeal to extra patrons; nonetheless, slowing financial circumstances and a lower in migration are possible persevering with to weigh on confidence available in the market,” he states within the affiliation’s October launch.
Hamilton’s common residence value dropped $6,100 month over month in October to $747,200, and the required earnings by $1,150, inserting the Golden Horseshoe metropolis in second place when it comes to improved affordability.
Edmonton: Easing again to stability
After a scorching run in 2024, Edmonton’s housing market has eased in direction of stability this yr, as gross sales have chilled 17% yearly, and new listings have recovered by practically 15%.
