It's been clear the Canadian housing market has been struggling in the past couple months but now we're getting the hard data. The Canadian Real Estate Association reports that June sales fell 9.4% y/y.
Seller are still mostly holding out for higher prices but inventories are building -- particularly in condos and new builds. The CREA price index rose 0.1% in June but is down 3.4% y/y.
The CREA (a realtor trade organization) tried to spin a seasonal pickup in June from May as positive but given the BOC rate cut, I'm not buying it.
Listings are up 26% y/y, though they suggested the growth may be slowing.
“The second half of 2024 is widely expected to see the beginnings of a slow and gradual return of buyers into the housing market,” said James Mabey, Chair of CREA.
The national average home price was $696,179 in June, At a 5% mortgage and 20% down, that would put the monthly payment around $3100.
