Is Canada’s real estate market actually crashing, or is it just hype? The media loves doom and gloom—it gets clicks—but the real story is more complicated.

In this Summer 2025 Market Update, I break down what’s really happening in Canadian real estate. While headlines scream about Toronto condos, pre-construction projects, and overleveraged investors, the truth is the market is deeply divided by micromarkets.

Yes, some areas are sliding—especially high-rise condos in downtown Toronto, where inventory is so high it could take over five years to sell. But in Greater Vancouver? Detached homes in family-friendly suburbs and townhomes with rental suites are still moving—if they’re priced and presented right.

Here’s what we cover in this video:
~ Why the “crash” narrative is mostly driven by a few struggling markets
~ How Greater Vancouver’s prices have barely moved in two years
~ The real difference between median and average sale prices
~ Why pricing your home like it’s 2022 will guarantee it won’t sell
~ The winning pricing strategy for late 2025 (list at or 1–2% below the most recent comparable sale)
~ Why staging, marketing, and a strong CMA are more important than ever
~ How bidding wars are still happening on the right properties

Fun fact: May 2025 was reportedly the slowest month for sales on record, with June coming in second—yet well-prepared sellers still got great offers. The key? Smart pricing + strong presentation. If your home hasn’t sold, it’s not too late to turn it around. In an upcoming episode, I’ll share exactly how to revive a stale listing and attract serious buyers. 📊 Want the data?

Reach out for my full report on which Greater Vancouver areas are dropping the most. 📞 Let’s talk: Book a confidential call with me today. DM or email me for skill-testing questions or advice on your property.

📚 Get my book: Check out Rockstar Real Estate Investing on Amazon for more in-depth strategies. 👍 Like this video, share it with someone who needs to hear this, and subscribe for more no-BS real estate updates.

👉 BOOK A CALL WITH JESSI: calendly.com/jessirealestate Jessi Johnson Personal Real Estate Corporation Realtor | eXp Realty 📞 604 566 8968 (office line)

Sales Statistics Overview:

• METRO VANCOUVER (SnapStats): Link
• GREATER VANCOUVER (SnapStats): Link
• FRASER VALLEY (SnapStats): Link

Recent data shows significant gains in property values across Greater Vancouver:

• Detached houses: Up nearly $120,000 since January.
• Townhouses: Increased by about $69,000.
• Condos: Appreciated over $25,000.

Reflecting on earlier predictions, values have already risen by at least 5%, aligning with forecasts. The Bank of Canada recently lowered rates in June, in line with expectations.

Looking ahead, the Bank of Canada anticipates further rate reductions, aiming for a 2.75% overnight rate by 2025. Economic indicators, including increased business bankruptcies and rising unemployment, may necessitate additional rate cuts to spur recovery.

While economic uncertainty persists, real estate in Greater Vancouver remains resilient despite media skepticism from other markets. Increased inventory may moderate sales pace, emphasizing the importance of strategic pricing for sellers.

For those contemplating a property purchase within the year, early preparation is advised to navigate market dynamics effectively.

For more insights, refer to my best-selling book, ‘Rockstar Real Estate Investing‘.

Feel free to reach out with any questions.

Remember to Own Your Life!

SCRIPT FROM VIDEO:

In this video podcast, I plan to cover the “newest” proposed mortgage rules

This weekly video podcast is created to keep you informed about the Greater Vancouver real estate market, trends and strategies to help your success. To keep this content flowing, please hit the like button and subscribe to this channel.

Yes, you heard that correctly, they actually trying to bring in more rules. To be clear, this is just being proposed but is very likely happening. OSFI, aka The Office of the Superintendent of Financial Institutions, announced the proposals to help mitigate Canada’s residential mortgage market. “Unprecedented house price increases have been accompanied by record levels of household debt”. OSFI’s three proposals include:

#1 Loan-to-income (LTI) and debt-to-income (DTI) restrictions
#2 Debt service coverage restrictions
#3 Interest rate affordability stress test

The Loan-to-income (LTI) and debt-to-income (DTI) restrictions would involve measures that restrict mortgage debt or total debt as a percentage of borrower income. Now, not to be confused with Loan to Value or LTV which is the mortgage loan percentage against the property value. OSFI notes an LTI of 450% is typically considered “high” and has been on the rise since the start of the pandemic.

Looking at the graph, it is on the decline so I am not too concerned here. Average incomes are not remotely keeping up with home prices, what did they expect would happen? How about working on fixing the housing crisis? OSFI is therefore proposing a “lender-level” limit that would restrict mortgage providers to a certain volume of loans that exceed their “prudent” threshold.

Debt service coverage restrictions would involve measures that restrict ongoing debt service obligations as a percentage of borrower income. For example, (principal, interest and other related expenses. Lenders must currently employ Gross Debt Service (GDS) and Total Debt Service (TDS) limits on insured mortgages, which are currently 39% and 44%, respectively. Insured mortgages are generally those with a down payment of less than 20%. It is possible to still have an insured mortgage with greater than 20% down but is not common.

At present, GDS & TDS restrictions are not enforced by OSFI but most lenders still follow similar strategic limitations. Additionally, OSFI said it could limit lenders to a certain volume of loans with high debt-service ratios. So they are going to cut off the supply of mortgages… really?

Interest rate affordability stress tests. OSFI head Peter Routledge told the Globe and Mail that borrowers are currently in good shape and that these proposed changes are about ensuring it stays that way. The big question is, do we really need this?

• 99.86 percent of Canadians are current on their mortgages
• We are at an all-time low mortgage arrears rate

Want to hear my option? Stop making it harder to get a mortgage which is used to buy a growing asset. Instead, go after unsecured credit providers. Banks, credit unions, etc are handing out credit cards like candy. I bet I could get $100,000, easily, today in credit cards if I wanted. It of course would come at the current rates which average 20-23%. The monthly payment on that alone would be around $2,000. None of the proposed changes will be finalized until after OSFI’s consultation period, which is now open until April 14, 2023.

Want to hear some good news? At the time of this recording, the bond yield dropped to its lowest level in 6 months showing a further indication that fixed rates will start to decline further. This will cause a boost in real estate sales.

Are you still sitting on the fence? Your butt will get sore if you sit too long!

What do you think about this? I would love to hear your opinion. Also, if you are interested in becoming a realtor and joining our team at eXp. We have one heck of a program for new and experienced agents.

That’s all for this episode, don’t forget to pick up a copy of my best-selling book on Amazon, Rockstar Real Estate Investing if you haven’t yet and we are here for your questions at any time.

See you again soon, thanks.

Jessi Johnson