On September 17th, 2025, the Bank of Canada announced a quarter-point rate cut. Many clients have been asking whether this is already driving the real estate market. Based on what our team has observed, the answer is: not yet.

While a rate cut usually makes borrowing slightly cheaper, this small 0.25% reduction hasn’t been enough to spark any major shift in buyer activity. Homes are still moving at a similar pace, and demand has yet to respond significantly.

The next major announcement to watch is October 29th, when the Bank of Canada will update its policy rate again. If another cut is made, it could signal a more meaningful opportunity for buyers and may start to influence the market. That said, the announcement comes as we head into the slower winter months, which naturally see a dip in activity.

It’s clear that the Bank of Canada is treading carefully — trying to keep interest rates low enough to avoid stalling the housing market, but not so low that prices skyrocket uncontrollably. For sellers and buyers alike, this approach suggests a gradual, measured market rather than sudden swings.

Our recommendation? Keep an eye on the October announcement, but don’t expect overnight changes. The market is balancing carefully, and small rate cuts alone are unlikely to completely shift the current dynamics.