LOOKING BACK, LOOKING AHEAD. Canada’s Mortgage Market Finds Its Feet.

As we move into the new year, it is worth taking a moment to pause and reflect. The last several years have asked a lot of Canadian homeowners. Rapid interest rate changes, constant headlines, and ongoing uncertainty made it difficult to plan with confidence. By comparison, 2025 finally brought a sense of calm and adjustment to the mortgage and housing market.

Interest rates did not return to the ultra-low levels many homeowners once enjoyed, but they did ease. Inflation cooled and stayed closer to the Bank of Canada’s target, allowing borrowing costs to trend lower without reigniting pressure on household budgets. The market stopped feeling like it was lurching from one headline to the next. It was not a full return to normal, but it felt far more manageable.

Throughout 2025, mortgage rates moved lower in a slow and deliberate way. Variable rate borrowers gained some breathing room, and buyer confidence began to return. Sales activity improved in many regions, while home prices posted modest gains rather than sharp swings. Affordability remained stretched, especially in higher-priced markets, but conditions felt more balanced than frantic.

Government and regulatory efforts continued to focus on housing supply and affordability, with measures aimed at supporting new construction and easing access to insured mortgages. While challenges remain, these changes are intended to improve affordability over time.

Looking ahead to 2026, the outlook appears steadier. Most economists expect fewer surprises from the Bank of Canada, with interest rates likely to remain relatively stable. According to the Bank of Canada’s analysis on mortgage renewals, many households will still face higher payments as they renew, making planning especially important👉 https://www.bankofcanada.ca/2025/07/staff-analytical-note-2025-21/

Housing activity is expected to remain measured rather than surge. As noted by Canadian Mortgage Trends, a large share of mortgages renewing by 2026 will do so at higher rates, reinforcing the value of early review and strategy. National forecasts also point to stability. 👉 https://www.canadianmortgagetrends.com/2025/01/60-of-canadian-mortgage-renewals-to-face-higher-rates-by-2026-boc/

A recent Canadian housing outlook suggests price growth will remain modest and highly regional, shaped by supply, demand, and local economic conditions. For many households, 2026 will be a year of thoughtful decision-making. Whether you are buying, renewing, or refinancing, taking time early in the year to understand your options can create clarity and confidence later.

After years of turbulence, a steadier market is not boring. It is an opportunity to make smart, informed decisions that truly fit your life. You don’t have to guess, or stress. Email me or pick up the phone and I’ll make sure 2026 is the year you don’t fear and loathe your mortgage.

Start your pre-approval here; www.chadeliason.ca/pre-approval

☕️ Chad Eliason📞 250.804.9874info@chadeliason.ca