Housing sales up and down
July 26, 2018
June housing sales in Canada were up from May but down 10.7 per cent from June 2017, reports the Canadian Real Estate Association (CREA).
The result was a five-year low in sales for the month of June, but some expect sales to firm up in the second half of this year.
CREA also noted sales volume was up 4.1 per cent when compared with May—the first substantial month-over-month increase this year.
The national average price for a home sold in June was just under $496,000, down 1.3 per cent from a year ago.
Excluding high-priced Greater Vancouver and Greater Toronto markets, the average price was just over $389,000.
Although prices were down in many large cities—including Toronto, Edmonton, Regina, Saskatoon and Calgary—the pace of decline is starting to slow. CREA reported that Vancouver, Ottawa and Montreal prices are increasing.
TD Bank economist Ksenia Bushmeneva noted that sales rose for the second month in a row with broad-based gains across the country while home prices continued to stabilize.
She suggested the housing market “is once again finding its footing” following tougher mortgage rules that came into effect this year.
However, a July hike in mortgage rates could sideline some buyers, according to mortgage broker Shelly Cooper of Dominion Securities.