C
anadian interest in U.S. real estate has fallen sharply this year. Redfin reports a 19.5 % drop in Canadian searches on its site in August compared with the same month last year, a trend that began in February after the U.S. imposed 25 % tariffs on Canadian goods. The steepest decline came in April, when searches plunged 34.2 % year‑over‑year, coinciding with the Trump administration’s global tariff announcement. Although the fall has eased somewhat, Redfin still calls the reductions “notable.”
Several forces are driving the retreat. Canadian sentiment toward the United States and President Trump has hit historic lows, with Trump at times suggesting Canada should become the “51st state.” A weaker Canadian dollar, which has been losing ground against the U.S. dollar since late 2024 amid trade uncertainty, has made American homes less affordable. One Redfin Premier agent in Las Vegas, Cheryl Van Elsis, noted a client who is selling his last U.S. property because he no longer sees it as a good investment or vacation spot, after owning four homes in the area.
The decline is widespread, affecting 46 of the 50 largest U.S. metros. Florida, a traditional favorite for Canadian snowbirds, has been hit hardest. West Palm Beach saw the largest year‑over‑year drop in August at 26.6 %, while Tampa and Orlando fell by more than 23 %. Other significant declines occurred in Anaheim (‑26 %), Columbus (‑25.6 %), Detroit (‑25.5 %), and Los Angeles (‑25.5 %). Florida’s slump is especially striking given its history as the top foreign‑buyer destination; rising property taxes, homeowners’ association fees, insurance premiums, and disaster exposure have all dampened demand.
Only four major metros recorded gains in Canadian searches: Kansas City (+13.6 %), Nashville (+8.5 %), Jacksonville (+3.3 %), and Fort Worth (+1.5 %). Nationally, Canadians remain a key foreign‑buyer group, accounting for 13 % of international purchasers in 2024 and buying $5.9 billion worth of homes.
With ongoing economic pressures and political friction, analysts predict Canadian interest in U.S. real estate will not rebound to previous levels anytime soon.
