The Great Canadian Real Estate correction hasn’t actually corrected much in most of the country. Canadian Real Estate Association (CREA) data shows national prices fell in July, a trend that extended to most provinces. Even with most provinces seeing lower prices last month, the majority of home prices remain near their record high.
Most of Canada Saw Home Prices Fall Last Month
Canadian real estate prices: the change in home prices for a typical home across Canada in July, by province.
Source: CREA; Better Dwelling.
For those who need a quick refresher, the price of a typical home across Canada slipped 0.6% (-$3,800) to $661,800 in July. Most of the nine provincial indexes show prices fell last month, but 3 did move higher.
Prince Edward Island (PEI) saw the price of a typical home climb +1.3% (+$5.1k) in July, marking the biggest upward move in the month. It was followed by the 0.4% (+$1,400) rise in New Brunswick, and a similar growth rate in Newfoundland, at +0.4% (+$1.3k). Price gains were exclusive to Atlantic Canada.
On the other side of the scale were the other six provinces, led by Quebec, where prices shed 0.7% (-$3.8k). It was followed by a three-way tie for second place, where a 0.6% drop occurred in BC (-$5.6k), Nova Scotia (-$2.6k), and Saskatchewan (-$2.4k).
Most Canadian Real Estate Markets Are Just A Few Points From Peak
Canadian real estate prices: Percentage change from each province’s peak as of July 2026.
Source: CREA; Better Dwelling.
The national index shows home prices have dropped 21.3% (-$179.3k) from their March 2022 peak. However, that pressure is almost exclusively concentrated in Ontario, where prices have dropped 25.5% (-$257.3k) since peak. The decline in B.C. (-15.5%; -$161.7k) looks tame in comparison, despite being the second largest of any province. The third largest drop is in Nova Scotia at 2.8% (-$12.3k), which looks like a rounding error in contrast.
Only two markets are at record highs—Newfoundland and PEI. That’s 6 of 9 provincial indexes either at record highs or remaining less than 3 points from that peak.
Zooming into the national data reveals a problem bigger than just falling prices. More supply, rising inventory, slower population growth, and fewer home sales have barely moved prices outside of B.C. and Ontario. In fact, prices have steadily marched higher in most provinces as policymakers apply blunt stimulus.
Instead of clearing imbalances, stimulus is now extending the inefficiencies. If weak demand reflects affordability constraints, those constraints are nowhere close to being resolved.
