The Canadian Real Estate Association (CREA) just released its March 2025 housing market report and if you're thinking about buying, renewing, or refinancing, the numbers might work in your favour.
Here’s a breakdown of what’s happening in the market and how it connects to your mortgage game plan:
1. Slower Sales = More Negotiation Power for Buyers
National home sales dropped 4.8% from February and are down 9.3% year-over-year. Translation? Buyers are facing less competition and might have more room to negotiate on price, subjects, or closing dates. This can help stretch your pre-approval further and give you a bit more control in the process.
2. Lower Home Prices = Smaller Mortgage Needed
The average sale price dipped 3.7% compared to last year. That’s good news for buyers you may not need to borrow as much, which could make qualifying easier and help reduce your monthly payments.
3. Market Uncertainty = Rate Movement Watch
CREA flagged broader economic concerns, including new U.S. tariffs, which are creating uncertainty in the market. That kind of slowdown can influence bond yields and we all know bond yields affect fixed mortgage rates. If you're trying to time your rate hold or pre-approval, now’s the time to check in and make a plan.
4. Appraisals Could Be Tighter
In a flat or declining market, lenders tend to be more cautious when it comes to property valuations. If you're buying with less than 20% down, or looking at a market that’s softened, a lower appraisal could impact your financing and your ability to close.
5. Investors May Pause But Opportunity Remains
Some investors may hit pause with prices softening and slower growth forecasts. But if you’ve got your financing lined up, this cooling could be the window to grab a better rental yield or future flip potential. As always, run the numbers and make sure the deal works.
Bottom line: the market’s shifting, and that means strategy matters more than ever. If you’re ready to make a move or just want to run the numbers let’s talk.