Lower interest rates could stabilize the Canadian real estate market

 

The Canadian housing market could stabilize before the end of this year as interest rates get lower.   Homes sales could reach a new low in the second half of the year before rising again.  Prices in Ontario and BC could rise again after this period.  High demand from immigrants, increased purchasing power from household savings, and a tight labor market could be drivers of the housing sector's resurgence.  Bank of Canada indicated that it will pause aggressive rate hikes; however, Governor Tiff Macklem pushed back, saying, "It's really far too early to be thinking about cutting rates."