Home sales in Canada fell by 4.3 per cent in May compared to the same month a year ago, according to the Canadian Real Estate Association. This shows that fewer properties changed hands than in May 2024.
Still, things are picking up compared to April. On a seasonally adjusted basis, national home sales rose 3.6 per cent from the previous month. That marked the first month-over-month increase in over half a year.
The number of homes listed for sale also went up. New listings climbed 3.1 per cent compared to April. By the end of May, there were 201,880 properties for sale—13.2 per cent more than a year ago. Despite that, the total was still about five per cent below the long-term average of roughly 211,500 listings for May.
Prices remained sluggish. The average price of a home sold in May was \$691,299, a 1.8 per cent drop from the same time last year. The Home Price Index, which tracks typical home values, was nearly unchanged from April.
Experts point to various factors keeping things in check. Buyers had largely paused their searches earlier in the year, amid uncertainty around trade relations and economic trends. One economist noted that the expected rebound may have just been delayed.
Even though the market shows signs of steadiness, true confidence hasn't returned. A broker in the Greater Toronto Area said there’s no sign yet of a “hot” market. Instead, he expects a pretty stable, pretty flat market through the rest of 2025—especially if mortgage rates stay high and global or political tensions continue.