Canada Real Estate Market June Sales Improve but Prices Decline Year Over Year
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In June, Canada's real estate activity saw a decline in both sales and housing prices compared to June 2023, according to the Canadian Real Estate Association (CREA). However, sales increased by 3.7% from May to June 2024. Despite this monthly improvement, sales were still 9.4% lower than the same month the previous year, and the average home price in June 2024 was $696,179, down 1.6% year-over-year.
CREA's senior economist, Shawn Cathcart, noted that June was not a particularly strong month for the housing market, but interest rate cuts had a positive effect on sales. BMO Capital Markets' senior economist Robert Kavcic highlighted the overall flatness of the market, suggesting it could benefit potential buyers by reducing the bidding wars seen in recent years. Kavcic also emphasized the regional variations in market conditions, with prices falling in cities like Toronto and Vancouver, but rising in more affordable areas like Calgary, Edmonton, Montreal, and Atlantic Canada.
Looking ahead, CREA has revised its forecast for the national average home price increase in 2024 from 4.9% to 2.5%, attributing this to a "quiet spring" and increased housing supply. Toronto Realtor Anya Ettinger observed that many properties, particularly condos, are lingering on the market, although some semi-detached homes still attract multiple offers. By the end of June, there were about 180,000 properties listed for sale across Canada, up 26% from a year earlier but still below the historical average.
Read the full article on: CBC
