Home sales in May experienced a 5.1% decrease compared to the previous year, as reported by the Canadian Real Estate Association. However, there is a notable positive trend compared to April, according to an economist. May saw a total of 47,014 home sales, showing a 5.5% increase on a seasonally adjusted basis from April.
The national composite housing price index, reflecting the average price of typical homes sold, saw a marginal 0.1% decrease month-over-month. Despite a downward trend over the past 18 months, CREA’s senior economist Shaun Cathcart pointed out that May’s decline was the smallest since January 2025.
Cathcart mentioned that there is a stabilization in prices as buyers and sellers are coming to a mutual understanding. The housing market conditions have been gradually improving, with tightening sale-to-list price ratios and shorter periods between listing and sale dates.
New listings in May decreased by one percent compared to the previous month, with over 200,000 homes listed for sale on MLS systems nationwide by the end of May. Regionally, B.C., Ontario, and Alberta experienced declines in home prices, according to CREA.
