Political tensions are driving many Canadians to sell or contemplate selling their properties in the United States. A recent survey by Burson for real estate brokerage Royal LePage reveals that 54% of Canadians who own residential properties in the U.S. are considering selling within the next year.

Among those planning to sell, 62% attribute their decision to the current U.S. political administration. Other reasons include reduced travel to the U.S. and personal or financial circumstances, cited by 33% of respondents. Additionally, 5% mentioned concerns over extreme weather events, such as hurricanes and flooding.

Canadians who have recently sold their U.S. properties share similar sentiments. The survey found that 44% of these sellers pointed to the political climate as a reason for their decision. Personal reasons were noted by 27%, while 22% cited increasingly severe weather conditions.

Phil Soper, chief executive of Royal LePage, commented on the findings, stating, "Not every decision to sell is politically driven. For many, the decision to divest will be due to changing personal circumstances, from reprioritizing financial goals to the simple decision to invest closer to home."

Soper also highlighted that the upkeep of a U.S. property has become burdensome for some Canadians. He noted that uncertainty regarding border regulations adds stress to property ownership.

In contrast, some Americans are exploring real estate options in Canada. Royal LePage reported a significant increase in U.S.-based traffic to its website during key political events over the past year. For instance, web traffic surged 116% year-over-year during the week of protests against Immigration and Customs Enforcement (ICE) raids in Los Angeles.

Soper remarked, "Whether it’s protests, presidential debates or elections, these spikes suggest that a growing number of Americans are exploring Canadian real estate as a safe and stable alternative — even if the reality of being granted residency is more complex than a simple home search."

While many Canadians are selling their U.S. properties, not all plan to reinvest in the Canadian real estate market. The survey indicated that 32% of respondents intend to use the proceeds for Canadian investments, while 45% do not plan to reinvest, and 23% were uncertain.

Soper pointed out that wealthy buyers from countries like China often purchase properties in major U.S. cities as investments. However, he emphasized that Canadians typically reside in the neighborhoods where they buy. He warned that a significant departure of Canadian homeowners could impact local economies in the U.S.

"They shop locally, dine out, volunteer and join pickleball leagues," Soper said. "Places like Florida, Arizona and California stand to lose millions in economic activity each year — and thousands of neighbors — if Canadian owners pull their capital from U.S. housing markets."