Canadian Home Sales Edge Up from September to October, 2022
Statistics released today by the Canadian Real Estate Association (CREA) show national home sales edged a little higher in October 2022.
- National home sales were up 1.3% on a month-over-month basis in October.
- Actual (not seasonally adjusted) monthly activity came in 36% below October 2021.
- The number of newly listed properties edged up 2.2% month-over-month.
- The MLS® Home Price Index (HPI) declined by 1.2% month-over-month and was down 0.8% year-over-year.
- The actual (not seasonally adjusted) national average sale price posted a 9.9% year-over-year decline in October.
Home sales recorded over Canadian MLS® Systems fell by 3.9% between August and September 2022. From May through August, month-over-month declines have been progressively smaller. The September result marked a slight increase in the current sales slowdown that began with the Bank of Canada’s first rate hike back in March. (Chart A)
While about 60% of all local markets saw sales fall from August to September, the national number was pulled lower by the fact markets with declines included Greater Vancouver, Calgary, the Greater Toronto Area (GTA) and Montreal.
The actual (not seasonally adjusted) number of transactions in September 2022 came in 32.2% below that same month last year and stood about 12% below the pre-pandemic 10-year average for that month.
“In October, sales across the country increased for the first time since before interest rates started to rise last winter,” said Jill Oudil, Chair of CREA. “Of course, we’ve known the demand was there, so it’s just been a matter of some playing the waiting game as borrowing costs and prices have adjusted. Moving into 2023, sellers and buyers will likely continue coming off the sidelines, but it’s a very different market compared to just one year ago. As always, for information and guidance about how to navigate the current marketplace, your best bet is to contact your local REALTOR®,” continued Oudil.
“October provided another month’s worth of data suggesting the slow down in Canadian housing markets is winding up,” said Shaun Cathcart, CREA’s Senior Economist. “Sales actually popped up from September to October, and the decline in prices on a month-to-month basis got smaller for the fourth month in a row.”