The ongoing U.S.-Canada trade war is impacting Canada's housing market, with economists warning of significant effects across all economic sectors. The housing market is showing weakness with plummeting sales and price declines, while the stock market experiences extreme volatility with the S&P 500 dropping nearly 19% since early April.

• A nationwide 5% drop in housing prices is expected, with major cities like Toronto and Vancouver being most vulnerable
• Construction costs have fallen in Toronto and Ottawa, though trade tensions could disrupt this trend
• Toronto's March 2025 real estate sales hit their lowest levels since 1995, potentially signalling broader national trends

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