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Housing Market Outlook 2026: Prices Stabilizing, Demand Still Weak

  If you've been watching the Canadian housing market and waiting for a clear signal — up, down, or sideways — welcome to 2026, where the answer is stubbornly "sideways." Prices have stopped falling in most regions, but they're not exactly rallying either. Meanwhile, the buyers who were supposed to flood back after rate cuts? Still sitting on the fence. Here's what the data says and what it means for your wallet. 📊 Quick Stats — April 2026 National average home price: $695,412 (+2.2% year-over-year) National benchmark price (MLS HPI): $666,400 (-4.2% year-over-year) Months of inventory: 5.2 (balanced territory) GTA average price: $1,051,969 (-4.9% year-over-year) Bank of Canada policy rate: 2.25% (held steady) 📉 Why Are Prices "Stabilizing" But Not Recovering? Canada's housing market entered 2026 caught between two opposing forces. On one side, the Bank of Canada cut its policy rate from a peak of 5.0% all the way down to 2.25%, which should ...

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U.S. and Iran tensions escalate after rocket attacks in Iraq

 

The U.S. and Iran are locked in a cycle of violence that threatens to spiral out of control, as both sides exchange rocket attacks and warnings in Iraq. The latest round of hostilities began on Sunday, when Iran-backed militias fired rockets at a U.S. base near Baghdad, killing a U.S. contractor and wounding several others. The U.S. responded by launching airstrikes on militia targets in Syria and Iraq, killing at least four fighters and injuring dozens more.

The U.S. said the strikes were a “proportionate” and “defensive” response to deter future attacks, but Iran and its allies condemned them as a “flagrant violation” of Iraqi sovereignty and international law. Iran’s foreign ministry spokesman said the U.S. was “taking the wrong path” and warned of “consequences” for its actions. The militias vowed to avenge their fallen comrades and continue their resistance against the U.S. presence in Iraq.

The situation has put the Biden administration in a difficult position, as it seeks to revive the 2015 nuclear deal with Iran that was abandoned by former president Donald Trump. The deal, which lifted sanctions on Iran in exchange for curbs on its nuclear program, was seen as a way to ease tensions and prevent a regional war. However, the deal has been unraveling since Trump withdrew from it in 2018 and reimposed harsh sanctions on Iran, prompting Iran to resume its nuclear activities and increase its support for militias in the region.

Biden has expressed his willingness to rejoin the deal, but only if Iran returns to full compliance first. Iran, on the other hand, has demanded that the U.S. lift all sanctions before it reverses its nuclear steps. The two sides have not yet agreed on a format or a timeline for negotiations, and the recent violence has further complicated the prospects for diplomacy. Some analysts fear that the escalation could undermine the chances of a peaceful resolution and push the region closer to the brink of war.

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