Home sales across Canada were up by 0.5% from February to March, according to data from the Canadian Real Estate Association, while actual (not seasonally adjusted) monthly activity was up by 1.7% from one year.
The number of newly listed properties declined 1.6% month-over-month in March, while the MLS Home Price Index dipped 0.3% month-over-month while inching up 0.7% year-over-year.
The actual (not seasonally adjusted) national average home price was $698,530 in March, up 2% from one year before. The actual (not seasonally adjusted) number of transactions came in 1.7% above March 2023, a smaller gain than those recorded in the previous two months, while the number of newly listed homes declined by 1.6% on a month-over-month basis in March.
“We’ll have to wait for the April data to really understand how buyers are responding to all these new properties for sale, but if you look at last spring as a guide and add to that record population growth in the last year and a central bank that is far more likely to cut this summer than raise like it did last year, it could get interesting,” said Shaun Cathcart, CREA’s Senior Economist. “Will the story be high interest rates keeping a lot of people on the sidelines this year, or the much expected and anticipated first rate cuts enticing a lot of people back into the market? Probably a bit of both.”
However, Larry Cerqua, chairman of the CREA, was more optimistic about the future, stating, “While the official March monthly numbers were quite flat, anecdotal evidence from late last month and early April suggests activity is ramping up. If you’re looking to be part of the market story this spring, contact a realtor in your area today.”
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