Canadian interest in Florida’s housing market is experiencing a significant downturn, impacting sales across South Florida. Data from Redfin indicates a notable decrease in Canadian searches for homes in key Florida regions, a trend attributed to new U.S. tariffs, strained U.S.-Canada relations, and broader cooling of the Florida housing market.
Canadian Interest Plummets
New data reveals a sharp decline in Canadian interest in Florida’s housing market. Redfin’s analysis, based on Canadian users searching for U.S. homes on Redfin.com, shows a significant year-over-year drop in May 2025.
- Miami: Approximately 30% decrease in searches.
- Orlando: Approximately 30% decrease in searches.
- Fort Lauderdale: 21% decrease in searches.
- Tampa: 23.4% decrease in searches.
- West Palm Beach: 16.7% decrease in searches.
Overall, Canadian searches for U.S. homes dropped by 26.4% year-over-year in May, with April seeing an even steeper decline at 34.2%.
Contributing Factors
Several factors are contributing to this waning interest from Canadian buyers:
- U.S. Tariffs: The Trump administration’s implementation of 25% tariffs on imports from Canada and Mexico in February 2025 is a primary driver. Redfin noted a significant drop in Canadian home searches shortly after these tariffs were imposed.
- Strained U.S.-Canada Relations: Beyond tariffs, a general deterioration in the relationship between the two countries is believed to be a factor. Comments from President Trump regarding Canada’s viability as a country without U.S. trade have been unpopular among many Canadians.
- Disillusionment with the U.S.: Some Canadians are growing increasingly disillusioned with the United States, leading to a re-evaluation of travel and investment plans. This sentiment is also reflected in declining Canadian tourism figures to Florida.
- Weak Canadian Dollar: A weaker Canadian dollar makes purchasing U.S. real estate more expensive for Canadian buyers.
- Rising Real Estate Prices: Despite some stabilization, Florida’s real estate prices remain high, which can deter foreign buyers.
Broader Market Trends in Florida
The cooling of Florida’s housing market for both American and foreign buyers is also playing a role. Redfin researchers highlight that:
- Soaring Insurance Costs: High insurance premiums, particularly in coastal areas, are making homeownership less attractive.
- Intensifying Climate Disasters: The increasing frequency and severity of climate-related events are a concern for potential buyers.
- High Mortgage Rates: Elevated mortgage rates impact affordability for all buyers.
- Condo Market Issues: Specific challenges within the condominium market are also contributing to the overall slowdown.
These external factors are leading to an increase in the supply of available homes and a stabilization of prices, which could benefit Florida natives.
Industry Reactions
Real estate professionals in Florida have observed this shift. Scott Gerow, Director of Luxury Sales for the CBG Luxury Team at Compass in Boca Raton, noted a significant change since the election, stating, "Unfortunately I don’t see many Canadian buyers this year." Despite these trends, Florida Governor Ron DeSantis expressed confidence in April, stating, "We’re going to continue to be a destination."
Sources
- Fewer Canadians search for homes in Florida, data shows, Sun Sentinel.
- Canadian homebuyers lose interest in Florida housing, Miami Herald.
- Report: Florida housing market sees sharp decline in Canadian interest, Gulfshore Business.