Home sales in Canada remained low in early 2026 due to economic uncertainty and rising fixed mortgage rates linked to inflation. A modest sales increase and price stabilization are expected as pent-up first-time buyer demand emerges, but forecasts have been downgraded. About 475,000 homes are predicted to sell in 2026, with a 1.5% price rise to $688,955. Sales and prices may improve if interest rates stabilize and inflation eases.