Saskatoon’s New Housing Market Shows Resilience as Buyers Turn to New Construction Amid Tight Resale Supply

FOR IMMEDIATE RELEASE

April 28, 2026

SASKATOON, SK – Saskatoon’s new housing market entered 2026 with a more cautious tone, but the fundamentals supporting housing demand remain strong, according to the Saskatoon & Region Home Builders’ Association’s Q1 2026 New Housing Market Outlook.

Following a record-setting 2025, when the Saskatoon metro area reached its highest level of housing starts since at least 1990, Q1 2026 showed a market adjusting to global uncertainty, higher bond yields, and shifting buyer confidence. New home sales totalled 283 units in the first quarter, down a modest 2.1% from the same period last year.

Despite that softer start, the report points to continued strength beneath the surface. Building permits increased 76.7% year over year, with permits issued for 1,060 new housing units in Q1. Much of that activity is being driven by multi-family construction, including rental apartments, townhomes, and other more attainable housing forms.

“Buyers are being careful, but they have not stepped away from the market,” said Nicole Burgess, CEO of the Saskatoon & Region Home Builders’ Association. “What we are seeing is a market responding to changing conditions. With resale inventory extremely tight and prices continuing to rise, new construction is becoming an increasingly important part of the solution for families, first-time buyers, and people moving to our region.”

Saskatoon’s resale market remains one of the tightest in the country. The benchmark resale price reached an all-time high of $435,200 in March, more than five percent higher than a year earlier, while inventory sat at just 1.8 months of supply. With limited existing-home options available, many buyers are looking to new construction to find homes that better meet their needs.

Housing starts declined 18.7% year over year in Q1, totaling 575 units, but the report notes this reflects timing rather than weakness. Q1 2025 included a large wave of condominium apartment starts, which can create sharp quarter-to-quarter swings. Outside of condos, other housing types posted positive growth, led by row housing, rental apartments, and semi-detached homes.

The outlook remains cautiously optimistic. Saskatoon’s economy continues to outperform many Canadian cities, supported by a solid labour market, relative affordability, and major regional economic drivers. The new federal GST rebate for first-time buyers is also expected to support demand for more attainable new housing options, particularly townhomes and multi-family product.

“Saskatoon is still growing, people still want to live here, and builders are responding with the types of homes the market needs,” Burgess added. “The challenge now is ensuring policy, land supply, approvals, and infrastructure keep pace so we can continue delivering housing choices at prices people can afford.”

To access the Saskatoon New Housing Market Outlook, click here.

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For media inquiries, please contact:

Nicole Burgess, Chief Executive Officer
Saskatoon & Region Home Builders’ Association
ceo@saskatoonhomebuilders.com
306-955-5188
saskatoonhomebuilders.com

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