Canadian home prices continued to trend upward in April 2025, but at a more moderate pace compared to earlier in the year. The combination of affordability challenges and economic uncertainty driven by the ongoing trade war is taking an increasing toll on several key markets.
The April RPS House Price Index showed a 1.9% year-over-year increase, easing from a 3.1% rise in March. This marks the second consecutive month of slowing price growth and reflects changing conditions in key urban markets.
A National Slowdown With Sharp Regional Contrasts
This national price trend points to a noticeable slowdown across major markets including Toronto and Vancouver, where prices dipped in April. Insights from regional real estate boards suggest that the condo markets in these major cities remain weak, contributing to the broader softening in these areas.
Hamilton joined Toronto and Vancouver with a modest annual drop. In contrast, markets like Quebec City, Montreal, and Edmonton continued to see annual gains, though the pace of growth has moderated in several of these areas.
Quebec City and Montreal Lead the Country
Quebec City stood out with a 15.1% year-over-year increase in home values, well ahead of other major metros. Limited inventory and relative affordability have supported continued upward pressure on prices in Quebec’s capital. Montreal also recorded notable annual growth, maintaining its position among the stronger-performing markets in April.
Buyer Sentiment: Cautious Despite Improving Confidence
While consumer confidence has edged up ahead of the recent federal election, according to The Conference Board of Canada, many Canadians are proceeding with caution. Affordability remains a challenge, and while the Bank of Canada held its policy rate steady in April after months of cuts, some buyers may be waiting for more clarity before moving forward with a purchase.
Looking Ahead
As Canada moves through the spring real estate season, local market conditions remain diverse. Shifts in inventory, economic uncertainty, and evolving buyer sentiment are expected to influence market outcomes into the summer.
About the RPS House Price Index (HPI)
The RPS House Price Index is the most comprehensive source for house price data in Canada and includes the median house price dollar values and extensive additional data by property type from a national to the local level. For more information, the complete methodology is available.
Long-Term Price Trends
The RPS House Price Index is based on the latest monthly actual home values in 1,000 towns and cities across the country.
The index shows how property values have changed over time, relative to a base period (Jan. 2005 = 100). An HPI value of 300 means property values have tripled (on a smoothed, adjusted basis) since 2005.
The HPI does not indicate the actual price of a property. It demonstrates how prices have moved relative to the base period.
Market Momentum
A rising index indicates an upward price trend. A falling index suggests price softening or correction. Since the HPI smooths noise and filters out outliers, it gives a more stable, reliable picture of pricing trends than monthly medians.
The HPI is based on an up-to-six-month rolling average, so it does not reflect short-term volatility, such as one-off surges in prices from luxury sales. All figures are rounded to the nearest whole number.
Access the RPS House Price Index Data
This article provides a summary of the key trends from the April 2025 RPS House Price Index. If you’d like the underlying data, sign up for the RPS HPI Public Release and receive the complimentary dataset each month, delivered directly to your inbox.
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Josh is a staff writer at RPS. He has been reporting on the national real estate market for 10 years, including for some of Canada’s largest newspapers and magazines.