Niagara Falls Real Estate Market Trends: What You Need to Know About the Buyer Surge in 2025
The Bank of Canada’s announcement on December 11th to reduce the interest rate to 3.25% has created a wave of possibilities in the Niagara real estate market. Whether you’re buying your first home, selling a cherished property, or investing in the future, now is a great time to act. Here is a brief explanation of how this change may impact your next move!
Buyers
Lower borrowing costs mean your purchasing power has increased! With median home prices currently at $650,600 and mortgage rates dropping to approximately 4.75% for fixed-rate 5-year mortgages following the Bank of Canada’s rate cut, your monthly payments are now more affordable.
For example, before the rate cut (5.25%): A 10% down payment on a $650,600 home means putting down $65,060, leaving you with a mortgage of $585,540. At 5.25%, this translates to an approximate monthly payment of $3,199 (excluding taxes and insurance).
After the rate cut (4.75%): With the same loan amount, the monthly payment drops to approximately $3,042, saving you $157 per month or nearly $1,884 annually.
Act now to secure favorable terms before rising demand pushes prices higher. Let me guide you through pre-approval and help you find the perfect home!
Sellers
Home prices are trending upward thanks to heightened demand and more affordable financing. With increased buyer activity, this is the perfect time to list your property, as motivated buyers are looking to take advantage of lower rates. Whether you need help with price valuation, home staging, or getting the proper exposure, I have got you covered. I’ll help you prepare your home for the market and highlight its value to attract motivated buyers and maximize returns!
Investors
With reduced rates and higher rental demand, the Niagara market is ripe for investment. An investment property is a great choice for anyone wanting to create passive income. Current rental yields in Niagara Falls range between 5% and 7%, depending on location and property type. Multi-family homes and properties near high-demand rental areas like downtown or tourist attractions offer strong potential.
For instance, a $700,000 investment property with 20% down ($140,000) could generate approximately $3,500 in monthly rental income. With mortgage payments lower after the rate cut, you can achieve better cash flow and long-term returns. With borrowing costs now lower due to the Bank of Canada’s rate cut, this is the perfect time to expand your portfolio. I’m here to help you analyze the numbers and find the best opportunities.
What This Means for You
The real estate market is constantly evolving, and this rate change presents a unique window of opportunity. Whether you're planning your next move or simply exploring your options, I’m here to help you make informed decisions with detailed financial projections and expert guidance.
Call me today at 289-968-2154 to discuss how you can take advantage of the current market, email me at [email protected], or visit my website at vanessawhalenrealtor.ca .
Together, we can make your real estate dreams a reality!
