Just days ago, U.S. President Donald Trump softened his tone on China, hinting that the extreme 145% tariffs might be lowered in upcoming negotiations. Wall Street rallied. Confidence rose. But for Canadians, especially those keeping an eye on housing or the job market, the relief was short-lived.

Because while China may see some tariff relief, Canada is still firmly in the crosshairs.

Canada Still Under Tariff Pressure

Unlike China, Canadian exports such as steel, aluminum, soft lumber, and agricultural products remain under U.S. tariffs. And President Trump's recent “Canada is like our 51st state” remark only reinforced a long-standing reality: Canada is often the fallback target when U.S. trade tensions rise. If China talks stall again, don’t be surprised if tariffs on Canadian goods tighten further, especially during a volatile U.S. election cycle.

Tariffs and the Richmond Hill Housing Market

These tariffs are more than a trade story, they’re already shaping the real estate outlook in communities like Richmond Hill.

• Detached homes: in the area have remained relatively stable so far, but recent accumulation in Months of Inventory (MOI) is signaling that a price correction may be on the horizon. The supply-demand balance is tilting.
• Townhouses and condos: have already declined compared to last year, with affordability concerns and cautious buyer sentiment leading to softer demand.
• Construction costs: remain elevated due to material tariffs, particularly on lumber and aluminum, which puts pressure on developers and slows new builds, further affecting market momentum.

Bank of Canada: No More Housing Lifelines

The April 16 decision by the Bank of Canada to pause its rate cuts at 2.75% sent a clear signal: housing is no longer a policy priority. In past downturns, rate relief helped cushion the blow for homeowners. This time, the focus is on fighting inflation and managing global trade risk and not stimulating real estate.

With no additional cuts expected until possibly spring 2026, homebuyers and investors must prepare for a prolonged adjustment period.

Job Market Warning Signs

Canada’s unemployment rate is now 6.7%, and with tariff uncertainty still looming, job losses could accelerate, especially in trade-linked industries like transportation, manufacturing, and agriculture. Fewer jobs mean fewer confident buyers, and that pressure trickles down into housing.

What’s Next for Richmond Hill?

The federal government is shifting focus toward public-sector housing for low-income families. Meanwhile, the private market is being left to correct on its own. That means that No immediate stimulus, No V-shaped rebound and at least three years of slow.

Cash-rich buyers and those with long-term vision may find opportunity in this environment, but for most, adaptation is essential.