The Canadian housing market recorded mixed results at the end of the spring selling season. While some provinces saw record-breaking average home prices, others experienced a downward adjustment.
Our market is stabilising with the number of sales and their prices levelling off in many areas.
As an experienced local real estate agency, we believe the Canadian market will improve once we see a meaningful reduction in mortgage costs, which are predicted for later this year.
Here is a summary of the national market:
- Benchmark Home Price: The national benchmark home price, a measure of the price of a “typical” home, was $735,900 in April. This represents a 0.8% monthly increase and a 0.9% year-over-year decrease.
- Home Sales: There were 37,745 home sales in April, a 1.1% decrease year-over-year and a 3.1% decrease compared with March 2024.
- New Listings: New listings were up 2.8% month-over-month.
- Active Listings: Active listings were up 6.5% month-over-month.
Here are some provincial highlights:
- Alberta, Saskatchewan, and New Brunswick: These provinces reached all-time highs in benchmark home prices in April.
- Alberta, Nova Scotia, and New Brunswick: These provinces saw record-breaking average home prices in April.
- Calgary, Edmonton, and Saskatoon: Prices in these cities have steadily ticked higher since the beginning of 2023.
As we enter the summer market, the spring sales season showed signs of a strong recovery in some provinces, with record-breaking prices in Alberta, Nova Scotia, and New Brunswick.
However, the national trend suggests a more balanced market overall.
Despite an increase in new listings, the decrease in home sales could be attributed to several factors, including high interest rates and affordability concerns.
The increase in active listings may provide buyers with more options and could lead to a more balanced market in the coming months.
Here’s a breakdown of our national bellwether markets:
- Calgary: Canada’s property hotspot, Calgary has recorded an annual rise in value of 9.9%. Why? The market remains supply-constrained. Active listings are near decades-low levels. New listings fell for a fifth consecutive month.
- Toronto: Home resales declined by 3.4% month-over-month in April despite a 5.9% increase in new listings. Property values saw a 0.4% month-over-month increase, marking April the third consecutive monthly gain. The average price is $1.1 million, 1% lower than a year ago.
- Montreal: Home resales are estimated to have fallen 5% month-over-month. Activity has recovered by 21% since November but remains 30% below pre-pandemic levels. Prices for detached homes have increased by 7.5% in the past three months, compared with 2.7% for condos.
- Vancouver: The city recorded a 15% month-over-month increase in new listings, and resales increased by 5%.