Emotions run high when Canadians consider vacationing in the United States, but should those feelings override critical financial decisions affecting personal wealth? This is the persistent dilemma facing Canadian owners of American property, now one year into an ongoing trade war between the two nations.
The Emotional Pull vs. Financial Reality
It's simple to advocate for a boycott when political rhetoric heats up, but the choice to sell a long-term investment like a vacation home into a cooling U.S. market carries significant weight. The financial implications often clash with personal attachments and lifestyle choices, creating a complex decision matrix for owners.
Consider the case of David Pridham, an office leasing representative from Ottawa. He recently grappled with selling his semi-detached home near Vero Beach, Florida. Pridham purchased the property during the 2008 subprime crisis, a period marked by widespread bankruptcies and plunging prices. "I asked myself when in my lifetime the dollar is going to be at par again," he recalled, explaining the compelling opportunity at the time.
Although retirement was distant, he bought the home, visiting several times a year with his family. He chose not to rent it out, justifying the US$21,000 in annual carrying costs against the property's steady appreciation. Now retired, Pridham listed the home this year. When an offer arrived at three per cent below asking with a quick closing, he accepted.
"We were ready to lower our price because the market was going in the wrong direction," Pridham stated. He acknowledged that offensive political comments from south of the border helped tip the scales, despite the property's convenience and the community built over 15 years. "It was just a 24-hour drive," he noted.
A 'Perfect Storm' of Financial Pressures
According to Evan Rachkovsky, director of research and communications for the Canadian Snowbird Association, the decision to sell or hold extends beyond politics. A confluence of practical financial issues is driving current considerations.
"I think it’s a lot more complex. Costs are higher, particularly in Florida, due to hurricanes and other natural disasters. You’re also dealing with currency fluctuation. Those all play a part as well. It’s a perfect storm," Rachkovsky explained. He observed that more association members are now exploring rental options instead of an outright sale.
For those choosing to sell, the market peak has likely passed. Brad Case, chief residential economist with Homes.com, confirms this trend. Data from Florida Realtors shows the median sale price for condos or townhouses fell 5.8 per cent year-over-year statewide, reaching $305,998 in the third quarter of 2025.
Market Correction After a Pandemic Boom
Case attributes the current moderation to a post-pandemic correction. Sunbelt regions, including Florida, experienced dramatic price increases during COVID-19 as remote work fueled demand.
"During the COVID pandemic, you had a bunch of people taking advantage of the opportunity to work from home," said Case. "There was a huge increase in demand, and Florida was a great example." That surge has now subsided, leading to a more balanced, if not declining, market in many areas.
The intersection of geopolitical tension, shifting market dynamics, rising insurance costs, and currency risk creates a challenging landscape for Canadian investors. The decision to sell a U.S. property is no longer just about lifestyle or political sentiment; it's a calculated financial move requiring careful analysis of a evolving 'perfect storm' of factors.
