National home sales ticked up in August
September 27, 2018
In what could be a sign that homebuyers are coming to terms with higher mortgage rates and tougher new mortgage regulations, Canada-wide housing sales increased slightly from July to August.
The monthly sales increase was 0.9 per cent, according to the Canadian Real Estate Association (CREA), and was the fourth straight month that sales were higher than a month earlier.
The Greater Toronto Area (GTA) market led the summer sales increase, CREA reports.
However, CREA noted that actual sales through the Multiple Listing Service of member boards this August remained 3.8 per cent lower than August 2017.
"The new stress-test on mortgage applicants implemented earlier this year continues to weigh on national home sales," said CREA President Barb Sukkau.
The actual national average price for homes sold in August 2018 was just over $475,500, up 1 per cent from August 2017.
The national average price is skewed by sales in the Metro Vancouver and the GTA, two of Canada's most expensive markets. Excluding these two markets from calculations cuts almost $94,000 from the national average home price, trimming it to just under $382,000.