Sales and Listings Increase
The Canadian housing market experienced a significant uptick in June 2024, with home sales climbing by 3.7% compared to May. This increase followed the Bank of Canada‘s rate cut on June 5th. The number of newly listed properties also saw a modest rise of 1.5% month-over-month.
Price Index and Regional Performance
The MLS Home Price Index rose by 1% from May, marking the first increase in 11 months. Calgary, Edmonton, Regina, and Saskatoon have seen consistent price climbs. In June, Ontario markets, including Cottage Country, Hamilton, London, and Guelph, alongside Halifax, turned a corner with noticeable price increases.
Market Outlook
Sean Cathcart, Senior Economist at the Canadian Real Estate Association, indicated that the market’s response to the rate cut suggests a turning point. He anticipates further heating up of the market as rates continue to decrease, with a more significant impact expected later in the year and into 2025. The national average home price has shown stability, with future increases expected as demand continues to grow and interest rates potentially drop further.
