According to the Canadian Real Estate Association, the statistics for home resales went down by 1.4% in September 2014 when compared to August of this year. This decrease was reported even in the 3 hottest Canadian real estate markets, which include Calgary, Toronto and Vancouver.
The statistics went down by 2.3% in Calgary, 0.3% in Greater Vancouver and by 0.6% in Toronto. At the same time, the Home Price Index in September went up by 5.3% on a year-over-year basis. There was also a 5.9% price increase in the average national sales price in September when compared to the numbers reported in September 2013.
For newly listed homes, the statistics were down 1.6% for new homes that were added to the market in September compared to August. This August, the highest monthly sales levels were reported since January 2010.
One of the reasons why the sales activity went down in September was due to the shortage of single-family properties in some of the hottest Canadian real estate markets. According to Beth Crosbie, the president of the Canadian Real Estate Association, in the markets where there was ample supply of single-family dwellings, sellers were less apt to negotiate on the price.
All in all, the sales activity on a year-to-date basis to the end of September was 5% higher than the activity recorded during the same time period last year. Current reports indicate that Canada's housing activity is moderating across Canada except in the3 hottest markets - Calgary, Toronto and Vancouver.
In terms of inventory, there were 5.9 months worth by the end of September. In August there were 5.8 months while in May, June and July of this year there were 6.0 months available. Calgary continues to be one of the hottest real estate markets in Canada and even though the market is becoming more balanced, there is still a lot of sales activity occurring here on a daily basis.