15 June 2018

According to the report, the national average home price at a resale market will go down by more than 2% from 2017 and reach $499,100.

At the same time, CREA also says home resales hit a five-year low level last month going down by just 0.1%.

A little bit more than half of all local real estate markets saw sales declines in May from April. The largest drops were reported in the Okanagan region, Chilliwack and the Fraser Valley, the Durham region of the Greater Toronto Area and Quebec City.

Meanwhile, Calgary, Thunder Bay, Brantford, London and St. Thomas, Oakville-Milton and the Quinte Region saw increases. Home sales in the GTA were also slightly up.

On a year-over-year basis, non-seasonally adjusted sales in Canada fell by 16.2%.

“This year’s stress-test affecting homebuyers with more than a 20% down payment keeps restraining the sales activity”, – CREA president Barb Sukkau noted.

“It depends on the market and prices to what extent this test pushes potential buyers out of the market.”