Canada home sales nudge upwards
August 22, 2018
Canadian home sales through real estate boards increased 1.9 per cent in July from June, building on increases in each of the two previous months but still running below levels recorded over the past five years, according to the Canadian Real Estate Association (CREA).
Led by the Greater Toronto Area (GTA), more than half of all housing markets reported an increase in sales activity from June to July. Actual (not seasonally adjusted) activity was down 1.3% from a year earlier. The result reflects fewer sales in major urban centres in British Columbia and an offsetting improvement in activity in the GTA.
"This year's new stress-test on mortgage applicants continues to weigh on home sales but its effect may be starting to fade slightly in Toronto and nearby markets," said CREA President Barb Sukkau.
The actual national average price for homes sold in July was just under $481,500, up 1 per cent from the same month last year. This was the first year-over-year increase since January.
The national average price is heavily skewed by sales in Greater Vancouver and Greater Toronto—two of Canada's most expensive markets. Excluding these two markets from calculations cuts close to $100,000 from the national average price by trimming it to just under $383,000.