The Canadian Real Estate Association (CREA) announced recently that property sales for the whole of Canada were down in June.
According to the CREA’s latest housing report, home sales in Canada declined by 1.3 percent in June. This followed a 3.4 percent decrease between April and May 2012.
Canadian housing activity declined in over half of local real estate markets – most of these declines were insignificant, but major markets such as Greater Toronto and Vancouver both experienced sizeable reductions in activity.
On a year-on-year basis, housing activity was down 4.4 percent as compared to June 2011. This is the first year-on-year decrease in over a year for actual housing activity without seasonal adjustment. The average price of homes sold in June 2012 was listed at $369,339, a 0.8 percent year-on-year decrease from June 2011.
Again, the sluggish activity in the Vancouver area contributed to this decline, as seven out of 10 local markets reported year-on-year increases in average sale price. However, the Aggregate Composite MLS House Price Index was up month-on-month, increasing 5.1 percent between May and June 2012. The increase between April and May was slightly higher, at 5.2 percent.
Nonetheless, the CREA remains optimistic that this trend of reduced housing activity won’t last too long. According to CREA President Wayne Moen, the Canadian housing market is “flying pretty high” even after the decline from the last two months.
Sales activity was still brisk, and the nationwide increase in average prices and homes for sale only emphasized the organization’s belief that “all real estate is local.”