The Appraisal Institute of Canada presented recommendations to the federal government this week in an effort to better support homeowners and buyers as the country grapples with trade tensions, economic uncertainty and the rapid adoption of artificial intelligence.

The group, which provides independent property valuations, is asking the government to  consult with industry members on identifying regulatory vulnerabilities and strengthening transparency. This means recognizing how real estate valuation, mortgage oversight, and consumer rights are reflected in Canada’s federal banking framework.

“Real estate is one of Canada’s most significant economic drivers,” Donna Dewar, CEO of the AIC, said in a press release. “Without prudent policy and strong leadership grounded in transparency, integrity, and consumer support, Canadians and our financial system face real challenges. We’re speaking directly with the federal government about the immediate steps needed to protect Canadians, the real estate market, and the economy.”

In its 2025 pre-budget submission in advance of the fall 2025 federal budget, AIC called for a permanent, multi-sector advisory committee within the Office of the Superintendent of Financial Institutions, which would provide ongoing expert input on systemic risks and consumer protection.. As well, targeted Bank Act amendments could modernize outdated legislation, codify valuation standards, and oversee automated tools like automated valuation models (AVMs).

Data released earlier in September from the AIC shows 84 per cent of Canadians prefer independent appraisal services over AI tools when it comes to determining the value of their home, compared to 14 per cent who trusted AVMs.

The emergence of online real estate platforms in the early 2000’s led to the rise of AVMs, which use statistical data to estimate a property’s market value. However, Canada’s housing market has become more complicated and there is concern these tools overlook crucial on-site inspections and local market expertise.

“As real estate and lending become more complex, it is essential that the federal government prioritize clarity and stability in the housing system,” AIC stated. “Now, more than ever, the federal government must consult with professional appraisers and industry leaders to develop and implement measures that reinforce Canada’s financial stability and support consumers.”