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A recent report from the Canadian Real Estate Association (CREA) indicates that despite successive interest rate cuts by the Bank of Canada, housing sales in the Greater Toronto Area (GTA) have not picked up significantly. The CREA report, released on Thursday, shows a slight 0.7 percent decline in monthly home sales nationally from June to July, even though borrowing costs have decreased. Year-over-year, however, sales have increased by 4.8 percent, suggesting a positive annual trend despite the recent dip.
Although the average home price in Canada fell slightly by 0.2 percent to $667,317 in July, the report anticipates that rising housing inventory and further rate cuts expected in the fall will stimulate more market activity and help balance the market. The increase in inventory is seen as a potential catalyst for more balanced conditions in the housing sector.
In some regions like Hamilton-Burlington, there has been a month-over-month increase in home sales, but the GTA, a particularly expensive market, saw a decline in July. Real estate brokers in southern Ontario are observing a slowdown in transactions despite recent rate cuts. However, with increased inventory and the potential for further rate reductions, there is optimism that market activity will improve as the year progresses.
Read the full article on: CBC
