Canadian Real Estate Market Update – Q4 2024

Published February 19, 2025

Canada’s real estate market is evolving rapidly, presenting both opportunities and challenges for investors and industry professionals as sector bifurcations continue.

Fiera Capital forecasts a moderate risk of “Inflation Revival” over the next 12 to 18 months, driven by economic resilience, a tight labour market, easing financial conditions, and the potential impact of new US tariffs. Policy uncertainty surrounding President Trump’s proposed tariffs, rising fiscal deficits, and slowing population growth may also contribute to global trade disruptions and increased inflationary pressures.

While these dynamics create a more volatile investment environment, they also present opportunities for those focusing on resilient asset classes within Canadian commercial real estate. Despite the challenges, Canada remains better positioned to withstand economic shocks compared to the previous year.

Fiera Real Estate’s internal models suggest that, despite the growing risks associated with tariffs, the Canadian real estate market continues to show strong fundamentals for a sustained recovery from its 2022–2023 cyclical downturn.

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