00:00 Intro & Winter Market Recap

At the start of 2026, I made a bold prediction that home prices would be up by the end of the year. Given the world events that have unfolded since, I am retracting that prediction. The year started with a long, cold winter that kept both buyers and sellers indoors.

• Sales: Not outperforming last year; transaction numbers remained light.
• Inventory: Also lighter than last year, giving buyers fewer options but keeping the market from completely flooding.

01:25 The Impact of Stable Interest Rates

One of the most positive developments for the market right now is stability. Interest rates have been held steady for the last four meetings. This has removed a massive layer of anxiety for buyers. We are no longer seeing the constant panic or hesitation surrounding what the Bank of Canada might do next, allowing buyers to shop with a clear understanding of their financial footing.

01:52 The Spring Push: March, April, and May

The spring market had a bit of a stutter step. March and April saw curbed activity due to global events. However, when the nice weather finally arrived in May, the market woke up.

Quality listings hit the market, and we saw a massive splurge in buyer activity. Interestingly, a significant portion of homeowners who purchased at the peak (2021–2024) have realized they would lose money if they sold today. Many of these sellers have waved the white flag and decided to stay put, which has naturally kept our current inventory levels lighter.

03:07 Micro-Markets: Balanced vs. Buyer’s Conditions

The Niagara region is not a one-size-fits-all market right now. We are seeing highly distinct “micro-markets” forming depending on the municipality:

• Balanced Markets: Areas like Fonthill and the North End of St. Catharines are experiencing healthy, balanced conditions between buyers and sellers.
• Buyer’s Markets: Areas like Fort Erie and Niagara Falls lean heavily toward buyers, characterized by higher inventory and longer days on the market.

03:37 Summer Forecast & Timing Your Sale

By June, the spring market essentially ended. Kids got out of school, summer sports started, and priorities shifted. As we move through July and August, expect a much slower, quieter market.

“If you are thinking of selling your home this summer, you might want to wait until the next selling season in September. If you must sell now, you have to price your house aggressively for the summer market.”

05:14 A Reality Check for Sellers

Sellers need to hear this clearly: The market is not shifting upward. The days of “stretch pricing” to see what you can get are over.

The sellers having success in 2026 are those pricing their homes accurately and fairly from day one. If you price to meet the market, you will likely sell within 30 days. If you overprice, your home will sit, grow stale, and inevitably require multiple price reductions.

06:00 Opportunities for Buyers & The New Normal

For buyers, there are still excellent opportunities out there. Stable rates mean you can lock in with confidence, and elevated inventory in certain pockets means you have the leverage to negotiate good deals.

Ultimately, what we are witnessing heading into 2027 is a return to a normal real estate cycle. We are transitioning back to a market that follows traditional seasonal rhythms:

1. A slow, quiet winter.
2. A busy spring push.
3. A relaxed, slower summer.
4. A renewed pickup in the fall.

This predictability is good news for everyone involved. If you want to know how these trends affect your specific neighborhood, reach out to the Davids & DeLaat team today.