The housing market in Southwest Florida is experiencing a significant decline in interest from Canadian buyers.

A recent international demand report revealed that Canadian interest in U.S. real estate is dropping, impacting local realtors.

For years, Canadians represented a large portion of buyers in Cape Coral. Now, local agents are noticing a rapid cooling of this trend, and the reasons extend beyond just real estate prices.

Cape Coral, once a seasonal hotspot for Canadian buyers, is seeing fewer Canadian flags in front yards.

Realtor.com‘s 2025 International Demand Report showed a nearly 11% drop in Canadian online searches for the area.

A local realtor explained that it is not just extreme weather deterring them. Economic factors, such as tariffs and a weakening exchange rate, play a significant role.

Kevin Bartlett, a broker and owner of KBRE, said he has seen a 30% decrease in Canadian clientele.

“Canadians made up a good market share of buyers that would come seasonally. And you know, since our tourism is our main market share down here, you definitely are seeing that being affected by what’s going on,” said Bartlett.

Bartlett predicted that the slowdown might continue for the next six to eight months.

He suggested that if the political climate stabilizes, Canadian interest could rebound.