Canadian Home Sales Edge Up To End 2022
Ottawa, ON, January 16, 2023 – Statistics released today by the Canadian Real Estate Association (CREA) show national home sales were up on a month-over-month basis in December 2022.
- National home sales rose 1.3% month-over-month in December.
- Actual (not seasonally adjusted) monthly activity came in 39.1% below December 2021.
- The number of newly listed properties dropped 6.4% month-over-month.
- The MLS® Home Price Index (HPI) declined by 1.6% month-over-month and was down 7.5% year-over-year.
- The actual (not seasonally adjusted) national average sale price posted a 12% year-over-year decline in December.
Home sales recorded over Canadian MLS® Systems edged up by 1.3% between November and December 2022. Gains were led by Ottawa and Edmonton. (Chart A)
The actual (not seasonally adjusted) number of transactions in December 2022 came in 39.1% below a near-record for that month last year.
“In 2022, we saw one of the biggest single-year shifts on record in Canadian housing activity, from record highs last winter to just below the 10-year average to end the year,” said Jill Oudil, Chair of CREA. “That said, the market’s adjustment to higher rates may be mostly in the rear-view mirror at this point. That could start to bring buyers back off the sidelines this spring. There is long term value in homeownership, and if you’re looking for information and guidance, your best bet is to contact a local REALTOR®,” continued Oudil.
“The housing market story of 2022 was about high inflation and rising interest rates. The 2023 market will depend on the timing and extent those factors move back in the other direction,” said Shaun Cathcart, CREA’s Senior Economist. “Demand for housing continues to grow and supply remains the biggest issue across the entire spectrum. Whether that plays out in the rental market in 2023 or shifts back over into the ownership space is a matter of how quickly the Bank of Canada can get inflation under control and starts turning the dial back down on borrowing costs.”