Tariff and trade uncertainty have put downward pressure on Canada's housing market.Kayle Neis/The Globe and Mail
The real estate market is stagnant in most areas of the country. Sales generally remain low, inventory is high, and average home values did not change at all in August.
That’s according to Wahi, a digital real estate platform, and Real Property Solutions, a Canadian property valuation service provider, which found that home values remained the same for the second month in a row in their Housing Price Index.
But a few cities are bucking this trend. The Globe and Mail spoke with Wahi economist Ryan McLaughlin and realtors to see why St. John’s and Winnipeg are among the hottest markets in Canada and why Saskatoon is the weakest performing Prairie town while still posting price increases.
Winnipeg: 10-per-cent increase
One of the biggest downward pressures on Canada’s housing market is tariff and trade uncertainty. It’s a major reason why Toronto and Vancouver are posting year-over-year decreases in housing prices.
But Winnipeg’s economy is relatively unaffected by that kind of global pressure, and its unemployment rate is lower than the national average, says Michael Froese, managing broker of Royal LePage Prime Real Estate.
Mr. Froese says this stability has translated into strong demand and is a major reason why the city posted 10-per-cent year-over-year gains in August, according to RPS-Wahi data.
Interprovincial migration numbers reflect that reality: Mr. McLaughlin said more people moved to Manitoba than left in the first quarter of 2025 – the first time that has happened in more than 20 years.
St. John’s: 10-per-cent increase
St. John’s tied with Winnipeg for the second-hottest market in Canada in August. Only Quebec City beat them both with a 12-per-cent year-over-year price increase.
The market in St. John’s has long underperformed when compared with the rest of Canada, says Jay Patel, a realtor with Century 21 Seller’s Choice.
He says the average price of a home in the St. John’s metro area runs about $350,000 or $400,000 – much less than the national average of roughly $672,000 in July, 2025.
Canadian home sales up again in August as market shows signs of turnaround
This has made it attractive for people who are leaving expensive provinces in search of more affordable housing. Mr. Patel says there’s a constant stream of people from Ontario looking into the small coastal city.
Mr. McLaughlin adds that St. John’s has also increased in price because building here is more difficult. The city is confined by its coastline and rocky cliffs, and developing here is considered harder than in, say, the Prairies.
“It’s been challenging for them to keep up with a substantial surge in demand from both interprovincial migration and external migration as well,″ Mr. McLaughlin said.
Saskatoon: 3-per-cent increase
Saskatoon posted only a 3-per-cent increase in August. That’s significantly lower than Regina to the south, which posted an 8-per-cent gain, and is tied with Calgary for the weakest major city market in the Prairies.
Mr. McLaughlin says that largely has to do with the fact that Saskatoon has always been a more expensive community, so there is less room for price growth.
For example, data from the Canadian Real Estate Association shows the average home price in Saskatoon was $435,100 in July, compared with $343,300 in Regina and $386,700 in Winnipeg.
However, Saskatoon realtor Mitchell Stretch says the market is seeing strong demand from both new immigrants and people who grew up in the area and are returning home after working in more expensive cities such as Calgary or Toronto.
