As homeowners age, there is a natural inclination to downsize, whether it be because children have moved out into homes of their own, or for increased accessibility, safety, and convenience.
According to Statistics Canada data from 2024, approximately 7.74 million people — about 18.9% of the total population of Canada — is over the age of 65, and the proportion is expected to increase to about 25% by 2030. Accordingly, a “downsizing wave” is expected, and it could become a significant factor in real estate markets.
However, research published last week by REMAX Canada suggests that the downsizing wave could unfold more gradually than anticipated (and perhaps than people would like), largely due to the limited availability of suitable homes.
From March 30 to April 1, 2026, REMAX Canada surveyed 1,507 adult Canadians, and about half of respondents (49%) said there was a low availability of downsizing housing options in their communities. An additional 8% said there was no availability, and perceived constraints were more pronounced among older Canadians, with 65% of those aged 65 and older reporting low or no availability.
Although just 10% of respondents said they were planning to move to a smaller home over the next 10 years, the number of intended downsizers was higher among those aged 65 and older, at 16%. That may be more so because of the lack of available options, however, rather than desire, as 73% expressed concerns about their options, including 32% who said they were very concerned.
“Downsizing is an important factor in the natural churn of the housing market, and headway will depend on improving access to appropriate housing options for older Canadians,” said REMAX Canada President Don Kottick. “Without it, our research indicates that many homeowners may delay or abandon their moving plans entirely, further constraining the flow of inventory into the market.”
REMAX Canada
Housing is often described as a “ladder,” illustrating the way people move up and down the different property rungs throughout their lifetime — from a rental apartment, to a condo, to a townhouse, to a single-family home, for example. This movement also creates a “vacancy chain” where housing on a lower rung of the housing ladder gets freed up when somebody moves up a rung.
Thus, a slowdown of the downsizing wave means those homes — presumably larger, single-family homes — will be freed up at a slower pace, resulting in less options for those looking to move up the housing ladder. (According to REMAX, 23% of Canadians between the ages of 18 and 34 are planning to buy their first home within 10 years.)
In the REMAX survey, 34% of respondents said they believe that an increase in downsizing by older homeowners would make it easier for younger buyers to enter the market. Conversely, 26% said they believed an increase would make it harder for younger buyers to enter the market. Another 29% of respondents said they believed downsizers wouldn’t have any impact.
“We’re seeing many homeowners who would consider downsizing, but they're struggling to find suitable options in their communities,” said Kottick. “Without sufficient inventory to support these transitions, many are choosing to stay in their homes longer, which limits movement of younger buyers across the market.”
“While downsizing won't happen all at once, the direction is clear,” Kottick added. “Canada’s aging population will undoubtedly shift demand and availability of housing over time, but progress will depend on improving access to housing that meets seniors’ needs.”
REMAX did not detail what those options look like, but one such option is dedicated seniors housing and trends pertaining to seniors housing help explain the lack of options. According to a Canadian Seniors Housing Market Overview published by Cushman & Wakefield earlier this year, the supply of seniors housing is expected to “fall far short of demand over the next five years, and there is a need for over 200,000 new seniors rental housing units across the next decade to maintain a market balance."
