Canadian Real Estate Association reports a decline in home sales in August compared to the previous year amidst emerging economic challenges that could potentially slow down the housing market for the rest of the year. Total home sales in August reached 37,504, showing a 6.9% drop from the same period in 2025. When adjusted for seasonal variations, activity decreased by 0.7% compared to July 2026.
CREA’s senior economist, Shaun Cathcart, highlights that the escalating inflation risks and the looming prospect of interest rate hikes have contributed to a weakened economic landscape, potentially impacting sales figures. The national average sale price of homes in August stood at $668,219, marking a 0.6% increase year-over-year.
In a positive development, new listings in August rose by 3.3% compared to the previous month, breaking a three-month streak of declining numbers earlier in the summer. This fluctuation in new listings could influence market dynamics in the upcoming months.