Home sales across Canada dropped by 0.9 per cent from the month of May to June, however actual (not seasonally adjusted) sales were up by 5.2 per cent year-over-year in June.
“While national sales activity remains strong, there are still significant differences in housing market trends across Canada,” said Cliff Iverson, the president of the Canadian Real Estate Association. “While home sales activity and price growth are running strong in BC and Ontario, they remain subdued in other markets where homebuyers are cautious and uncertain about the outlook for their local economy. All real estate is local, and Realtors remain your best source for information about sales and listings where you live or might like to in the future.”
The average price for a home in Canada increased by 11.2 per cent nationally year-over-year in June, however if Greater Vancouver and Greater Toronto are excluded that number drops to 8.4 per cent.
Gregory Klump, the chief economist for the Canadian Real Estate Association, said that, “June sales extend trends observed the previous month. As was the case in May, the monthly decline in national sales activity was led by the Lower Mainland of British Columbia and markets in or around the GTA. In keeping with the law of supply and demand, exceptionally low inventory combined with high demand continues to translate into strong price growth in these housing markets, where year-over-year price gains have been running in double-digit territory since late last year.”
The Canadian Real Estate Association recently updated its resale home sales activity forecast for 2016 and 2017.
According to the Canadian Real Estate Association, “Canadian resale housing market trends that defined 2015 have intensified. National sales activity and average prices reached new heights in the first half of 2016 amid a growing supply shortage of single family homes in British Columbia and Ontario, particularly in B.C.’s Lower Mainland as well as in and around the Greater Toronto Area (GTA).”
Sales activity across the country is expected to increase to a new annual record of 523,400 units, and increase of 6.1 per cent. The average sale price for a home in Canada has been adjusted to $490,700 this year, which is an increase of 10.8 per cent.
The Canadian Real Estate Association also says that Ontario’s average home price should increase roughly in line with the national average, while British Columbia will be the only province where sales increase at a rate above the national average.
Royal LePage has released its House Price Survey, depicting strong price increases during the first quarter of 2016 compared to the same time last year. Leading in price growth are the Greater Toronto Area and Greater Vancouver Area, while the Greater Montreal Area is showing promising signs of renewal.
“A glance at our national house price composite points to a very strong Canadian real estate market, yet the findings contain extreme regional disparities of the kind we haven’t seen in over a decade,” said the president and CEO of Royal LePage, Phil Soper. “Like an economic triumvirate, the impact of rock-bottom interest rates, the low Canadian dollar and rapidly expanding U.S. workforce are stimulating economic growth and housing demand in our largest metropolitan areas. Conversely in cities like Calgary, the ongoing drags in depressed energy prices and worrisome employment trends have taken a material bite out of sales volumes. As a lagging indicator, home prices in Alberta and Newfoundland are just beginning to adjust to the lower demand.”
In the Greater Toronto Area, there was a year-over-year price increase of 8.4 per cent, but was outdone by the Greater Vancouver Area’s 21.6 per cent increase.
He continued, “Redistribution of labour across the country is further reinforcing disparities among housing markets, as the broader impacts of the oil recession on Alberta’s economy take hold. For the first time in many years, we are witnessing an out-migration trend in the province as economic conditions and employment prospects dim. We expect British Columbia, followed by Ontario, to be the top recipients of new household inflows in the coming year, which will further fuel housing remand and price appreciation in Greater Vancouver and the GTA. This is in sharp contrast to the situation from 2011 to 2014, and in the mid 2000s, when a booming energy sector attracted families from all over Canada to Alberta.”
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According to the latest data released by the Canadian Real Estate Association, home sales across Canada increased by 1.5 per cent from February to March of this year, while actual (not seasonally adjusted) activity increased by 12.2% over March of last year. The number of newly listed homes dropped by 1.4 per cent from February to March.
“Greater Vancouver and the GTA are heading into the spring home buying season with soaring demand and a shortage of listings,” said the president of the Canadian Real Estate Association, Cliff Iverson. “Meanwhile, other major urban markets in Canada are well balanced or are amply supplied. All real estate is local, and Realtors remain your best source for information about sales and listings where you live or might like to in the future.”
The average sale price in Canada increased by 15.7%, however if Greater Toronto and Greater Vancouver are excluded, it grew by 10.4 per cent.
Gregory Klump, the chief economist for the Canadian Real Estate Association, said that, “Single family home sales in the Lower Mainland of BC and the GTA set new records for the month of March in the range between a-half and one-million dollars – as did sales above a million dollars. Meanwhile, sales below a half-a-million dollars, which were not subject to recently tightened mortgage regulations, are being increasingly restrained in these markets by a short supply of listings. If current sales and listings trends persist, price gains may pick up further this spring.”
Home sales across Canada increased by 0.8% from January to February, according to the Canadian Real Estate Association. Actual, not seasonally adjusted sales increased by 18.7% year over year.
“Two of Canada’s hottest housing markets look set to stay that way heading into the spring home buying season,” said the president of the Canadian Real Estate Association, Pauline Aunger. “Meanwhile, other major urban markets elsewhere in Canada are well balanced or have ample supply. All real estate is local, and Realtors remain your best source for information about sales and listings where you live or might like to in the future.”
The average price of a home in Canada during the month of February was up 16.4% year over year to $503,057, however when the Greater Toronto Area and Greater Vancouver Area are removed from the equation the average is $355,235, and increase of 8.7%.
Gregory Klump, the chief economist for the Canadian Real Estate Association, said that, “The number of single family home sales above one million dollars is rising in Greater Vancouver and the GTA. Tightened mortgage regulations apply to homes selling above five hundred thousand dollars and below a million dollars. The tighter regulations combined with a short supply of single family homes will restrain transactions below one million dollars. If recent trends continue, home sales above one million dollars will account for a greater share of activity and will further fuel year-over-year average price increases in these markets. Meanwhile, price growth will remain more modest in other housing markets that don’t have an ongoing or developing supply shortage like the kind we’re seeing in the Lower Mainland of British Columbia or around the GTA.”
According to the Canadian Real Estate Association, home sales across Canada increased by 1.8 per cent from September to October, while actual activity was about the same in October 2015 compared to the same time last year.
New listings also increased, but only by 0.9 per cent month-to-month.
“The continuation of low interest rates is supporting home sales activity,” said the president of the Canadian Real Estate Association, Pauline Aunger. “Even so, the strength of sales activity varies by location and price segment across Canada. All real estate is local, and Realtors remain your best source for information about sales and listings where you live or might like to in the future.”
The average selling price for a home in October 2015 was 8.3 per cent higher than in October 2014, reaching $454,976. If Greater Toronto and Greater Vancouver are excluded, the average selling price only increased by 2.5 per cent.
Gregory Klump, the chief economist for the Canadian Real Estate Association, said that, “October extended resale housing market trends of recent months. Single detached homes continue to be in short supply while demand for them remains strong in a number of active and populous housing markets in British Columbia and Ontario. Meanwhile an ample supply of condo apartments remains. The balance between supply and demand is generally tighter for single detached homes than it is for condo apartments and that’s unlikely to change any time soon. For that reason, price gains for single detached homes should continue to outstrip those for condo apartment units for some time.”