Home Prices are Now Down in 5 Major Canadian Cities

Ottawa has become the fifth major Canadian housing market to see home prices decline on a year-over-year basis, according to the latest reading of the RPS-Wahi House Price Index.

By Josh Sherman | 4 minute read

The RPS-Wahi House Price Index, created by Real Property Solutions and presented by Wahi, is a trusted indicator of Canadian home price trends.

Wahi, a leading Canadian real estate platform, and Real Property Solutions (RPS), the foremost Canadian provider of property valuation services, today released their monthly house price index for February 2026.

In February, the national RPS-Wahi House Price Index — which is based on the latest monthly actual home values in 1,000 towns and cities across the country — once again fell by 2% on a year-over-year basis. The annual price decline matches what was observed in January, but with a notable difference in the data: five cities are now in negative territory.

Ottawa has become the first major Canadian housing market outside of B.C. or the Greater Toronto and Hamilton Area to see home values fall on a year-over-year basis. In the first half of 2025, prices began to fall in the Hamilton, Toronto, and Vancouver markets, with Victoria joining the fray this past November. Now, Ottawa home prices are following suit.

Ottawa home prices inched downwards annually by 1% in February. September of 2023 was the last time that prices declined in five or more of the 13 major metro areas that are analyzed in addition to the national RPS-Wahi House Price Index.

“Price drops may grab headlines, but these declines potentially overshadow the fact that home prices remain up relative to where they stood a year ago in a majority of Canada’s major housing markets,” notes Wahi Economist Ryan McLaughlin. “Not only that, but several markets in Quebec and the prairies continue to show strong price growth,” he continues.

Despite Ottawa’s recent decline, the market has been generally characterized by stability in recent months. The local real estate board suggests the market is less prone to the more pronounced swings that have deifned real estate cycles in the GTHA and B.C.’s Lower Mainland.

The Ottawa market benefits from more stable employment thanks to a strong public-sector presence. Meanwhile, a larger share of buyers are end-users seeking single-family homes versus condo investment. The latter can spark greater volatility.

Although Ottawa has some exposure to the ebbs and flows of condo investment (about 34% of the city’s condo apartments are investment properties, compared to 38% in Toronto), it accounts for a considerably smaller share of the overall housing stock. Less than 15% of Ottawa’s housing stock is condos, compared to about 25% of Toronto’s dwellings.  

Condo Prices Continue to Weigh on the RPS-Wahi House Price Index  

Markets with a higher concentration of condos, such as those in the Lower Mainland and GTHA, have experienced more downward pressure on prices over the past year.

Broken down by property type, annualized price declines for condos remained at 5% in February. The rate of year-over-year depreciation for condos has held steady since late 2025. Last month, condo apartments were joined by row/townhouses, which also posted a 5% drop. Unsurprisingly, these denser housing types showed more softness than detached and semi-detached properties, which were down 2% and 3%, respectively.

About the RPS-Wahi House Price Index (HPI)

The RPS-Wahi Home 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-Wahi 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.