Windsor-Essex home sales and prices fall as economic uncertainty weighs on buyers: WECAR

Windsor-Essex home sales and prices fall as economic uncertainty weighs on buyers.

Windsor-Essex’s housing market remained slower than last year in June, as fewer homes changed hands and the average sale price fell by nearly $17,000.

The Windsor-Essex County Association of Realtors reported 476 residential sales last month, down from 501 in June 2025.

The average sale price was $566,103, compared with $582,913 during the same month last year — a difference of $16,810.

Through the first six months of 2026, 2,313 homes have sold across the region, down from 2,430 at the same point last year. Sales have finished below their 2025 levels in every month so far this year.

The year-to-date average price was $557,567, down 2.55 per cent from $572,179 during the same period in 2025.

WECAR president Alyssa Ismail said several factors may be causing potential buyers to hold off, including affordability, interest rates and uncertainty surrounding Windsor-Essex’s auto-dependent economy.

“I think it’s a mix of all of it,” Ismail said. “Especially in the Windsor-Essex County market, you have a lot of industry related to, obviously, the auto industry. So all of the tariff chatter is really kind of pushing more of that uncertainty.”

Ismail said borrowing costs have improved, with interest rates now closer to historical averages, but uncertainty surrounding employment and the broader economy continues to influence prices and buyer confidence.

While the overall market has softened, she said conditions differ sharply depending on a home’s price.

“There’s almost three different markets,” Ismail said.

Homes priced at roughly $400,000 or less remain in seller’s-market territory, she said, while properties between approximately $400,000 and $600,000 are experiencing more balanced conditions.

Buyers looking closer to the $1-million mark have significantly more choice, giving them greater leverage during negotiations.

“Our months of inventory is quite high,” Ismail said. “If you’re a buyer either in your starter home or in your middle-rung house and you’re looking to move up in the market, it’s a great time to do that.”

She said the abundance of higher-priced listings is providing buyers with more room to negotiate, while lower- and mid-priced properties continue to attract stronger activity.

WECAR’s figures show 245 of June’s 476 sales were between $420,000 and $699,999, making it the busiest segment of the market.

At the time of the report, 2,241 properties were available across the region.

A total of 1,318 new listings entered the market in June, down from 1,354 a year earlier. New listings declined at a slower pace than sales, adding to the selection available to buyers.

For sellers, Ismail said whether a home sells below its asking price often comes down to whether it was priced realistically from the beginning.

“It has a lot more to do with pricing the house at market value,” she said.

Ismail said some sellers remain influenced by the elevated prices seen several years ago and may initially list their properties above what current buyers are willing to pay.

“If they’ve priced high, expecting pricing from several years ago, it’s likely going to sell below,” she said.

However, she said homes priced using current sales data are still selling close to market value.

Despite the year-over-year declines, Ismail characterized the local market as active, noting that job changes, family needs and other life circumstances continue to drive purchases and sales.

“Overall, we’re still having a strong year in real estate,” she said. “There’s always a reason for folks to move.”