Ottawa, ON, August 15, 2017 – According to statistics released today by The Canadian Real Estate Association (CREA), national home sales declined further in July 2017.
The number of homes sold via Canadian MLS® Systems fell 2.1% in July 2017, the fourth consecutive monthly decline. While the monthly decline was about one-third the magnitude of those in May and June, it leaves sales activity 15.3% below the record set in March.
Sales were down from the previous month in close to two-thirds of all local markets, led by the Greater Toronto Area (GTA), Calgary, Halifax-Dartmouth and Ottawa.
Actual (not seasonally adjusted) activity was down 11.9% on a year-over-year (y-o-y) basis in July 2017. Sales were down from year-ago levels in about 60% of all local markets, led by the GTA and nearby markets. National sales net of activity in the Greater Golden Horseshoe region was little changed from one year ago.
“July’s interest rate hike may have motivated some homebuyers with pre-approved mortgages to make an offer,” said CREA President Andrew Peck. “Even so, sales activity continued to soften in the Greater Golden Horseshoe region. Meanwhile, sales and prices in Montreal continue to strengthen. All real estate is local, and REALTORS® remain your best source for information about sales and listings where you live or might like to.”
“July marked the smallest monthly decline in Greater Golden Horseshoe home sales since Ontario’s Fair Housing Plan was announced in April,” said Gregory Klump, CREA’s Chief Economist. “This suggests sales may be starting to bottom out amid stabilizing housing market sentiment. Time will tell whether that’s indeed the case once the transitory boost by buyers with pre-approved mortgages fades.”
The number of newly listed homes slipped further by 1.8%, led by the GTA. Many other markets in the Greater Golden Horseshoe region have also seen new supply pull back recently after having jumped immediately following the Ontario government’s announcement of its Fair Housing Plan in late April. New listings were also down in Calgary, Edmonton, Montreal and northern British Columbia, with the lattermost region having been hit by wildfires.
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