CONSUMER OPTIMISM IS ON THE RISE ENTERING 2025
36% of Canadians are optimistic that the housing market will improve in 2025.
This renewed confidence in the market is notably being felt by first-time homebuyers (7%) according to a Leger surveyed commissioned by RE/MAX Canada as part of the 2025 Housing Market Outlook Report. RE/MAX brokers and agents in 81% of regions surveyed noted that first-time homebuyers were the key demographic anticipated to drive market activity in 2025.
50% of Canadians feel more optimistic about the housing market than they did last year.
73% of Canadians believe that home ownership is the best long-term investment they can make.
36% of Canadians believe that Canada’s housing market is going to improve in 2025.
59% of Canadians believe the new mortgage reform rules won’t help solve the affordability crisis.
43% feel home ownership remains out of reach, and 20% say they can no longer afford to own a home.
40% of Canadians are willing to explore new neighbourhoods to manage and mitigate affordability challenges.
47% of Canadians prioritize selecting a home in a location less susceptible to climate change impacts.
The average residential sale price in the Vancouver housing market has increased by 1.2 per cent across all property types between 2023 and 2024, from $1,277,294 to $ 1,292,992. The number of sales transactions decreased by 2.5 per cent for the same time period (from 23,044 to 22,459). The total number of listings increased by 19.3 per cent (from 45,110 in 2023 to 53,825 in 2024). Looking ahead to 2025, the Vancouver housing market is expected to transition further from a balanced market to a seller’s market.
When it comes to new construction, homebuyers are interested in properties, with locations and amenities suited to their lifestyle. Buyers are looking at proximity to shopping, recreational activities, restaurants and more, in addition to outdoor space. Buyers are also more conscious of air-conditioning, due to the hotter summers. More developers are either offering air conditioning or including it as an option in new homes.
Heading into 2025, home sellers who are looking to upsize are feeling optimistic, but sellers who find themselves on the sidelines are hesitant as they wait on listings at a specific price point.
The new 30-year amortization will make it easier for first-time homebuyers to purchase a home in the GVA, and declining interest rates will continue to encourage buyers to enter the market as they continue to impact mortgage rates.