Real Estate housing market Canada

Canadian home prices marched lower for the sixth straight month, showing the central bank's rate increases are having the intended effect of cooling the ...

That brings the cumulative drop from February’s peak to 7.4%. [data](https://stats.crea.ca/en-CA/) released Thursday by the [Canadian Real Estate Association](/quote/0224374D:CN). Canadian home prices marched lower for the sixth straight month, showing the central bank’s rate increases are having the intended effect of cooling the nation’s overheated housing market.

Housing prices have continued on their downward plunge amid Bank of Canada interest rate hikes and fears over a potential looming recession, but the effect ...

In Alberta, the benchmark home price for August 2022 was $469,900, up 2.5 per cent in six months, and the CREA says prices in the province "appear to have peaked." In Nova Scotia, the benchmark home price rose 10.3 per cent between February 2022 and August 2022, settling at $395,300. The CREA says Saskatchewan home prices are "still rising slightly." The Greater Vancouver are saw home prices decline 4.6 per cent from February 2022, while the Fraser Valley region saw an 11.2 per cent decline. On Prince Edward Island, home prices rose 13.1 per cent, more than any other province. However, much like Nova Scotia, the CREA says the markets in these provinces appear to be softening. However, on Vancouver Island, the benchmark home price actually rose 6.9 per cent. The benchmark home price in the province was $489,900 in August 2022, down 2.5 per cent. In Quebec, home prices only began to drop in May. The Greater Toronto Area similarly saw a 15.2 per cent decline in prices during the same period, from $1.36 million to $1.12 million. Marie and Windsor-Essex, which saw home prices rise 10 to 14 per cent during this period. But the biggest declines were in the communities that were within a two-hour drive from Toronto.

"With at least another 50 basis point (hike) to come in short order, there is likely more repricing to go," says an economist.

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Ottawa, ON, September 15, 2022 – Statistics released today by the Canadian Real Estate Association (CREA) show national home sales slowed slightly in August ...

The actual (not seasonally adjusted) national average home price was $637,673 in August 2022, down 3.9% from the same month last year. The non-seasonally adjusted Aggregate Composite MLS® HPI was still up by 7.1% on a year-over-year basis in August. In Quebec, prices have dipped somewhat in the last couple of months. While the number of months of inventory remains well below the long-term average of about five months, it is also up quite a bit from the all-time low of 1.7 months set at the beginning of 2022. The August 2022 reading for the national sales-to-new listings ratio was very close to its long-term average of 55.1%. The decline in new supply was broad-based, with listings decreasing in about 80% of local markets, including every large market except for Montreal, where new supply was mostly flat from July to August. The national average price is heavily influenced by sales in Greater Vancouver and the GTA, two of Canada’s most active and expensive housing markets. While still a large decline, it was smaller than the 29.4% year-over-year drop recorded in July. “August saw national sales hold steady month-to-month for the first time since February which, along with a stabilization of demand/supply conditions in many markets, could be an early sign that this year’s sharp adjustment in housing markets across Canada may have mostly run its course,” said Jill Oudil, Chair of CREA. This is not about “looser” or “tighter”, it is about what is appropriate given where rates are and where they are likely to go moving forward. Home sales recorded over Canadian MLS® Systems edged down a slight 1% between July and August 2022. These were offset by declines in Greater Vancouver, Calgary, Edmonton, Winnipeg, and Halifax-Dartmouth.

Activity was down in roughly half of Canadian markets, including Greater Vancouver, Calgary, and Edmonton. Gains were led by the Greater Toronto Area and a “ ...

Although still “well below” the long-term average of five months, it has risen considerably from the record-low 1.7 months seen at the start of 2022. Prices in Alberta “appear to have peaked,” while Quebec saw another month of declines. Montreal was the only large market where new supply didn’t decline. The figure is “heavily influenced” by sales in the GTA and Greater Vancouver; excluding the two from the calculation cuts $114,800 from the national average price. The drop was “broad-based,” the CREA noted, with listings down in approximately 80% of local markets. Gains were led by the Greater Toronto Area and a “large regional mix” of other markets in Ontario.

CNW/ - The Canadian Real Estate Association (CREA) has updated its forecast for home sales activity via the Multiple Listing Service® (MLS®) Systems of...

The national average home price is forecast to slide mostly sideways (+0.2%) from 2022 to 2023 at around 722,000. The national average home price is forecast to rise by 4.7% on an annual basis to $720,255 in 2022. Some 532,545 properties are forecast to trade hands via Canadian MLS® Systems in 2022, a decline of 20% from the 2021 annual record.

“That said, some buyers may choose to remain on the sidelines until they see clearer signs of borrowing costs and prices also stabilizing.” While CREA says ...

“With rates continuing to ratchet up since August and more hikes likely in the hopper given recent data, this will continue to push residential investment to contract and weigh on the Canadian economy. That’s also lifted mortgage qualifying rates to the highest level since the early aughts, with the stress test ensuring mortgage-holders can withstand a rate approaching seven per cent. We are of the view that this is likely to push the Canadian economy into recession in the first half of 2023.”