The Canadian real estate market is showing gradual recovery signs with rising home sales, stabilizing inventories, and price improvements after steep declines. Sales are expected to drop 3.6% in 2026 but rise 6.7% in 2027, with modest price growth. Ontario and British Columbia face slower recoveries, especially in the condo market. Interest rates are likely stable in 2026 but may rise in 2027. Risks include trade tensions, energy prices, and immigration changes.