The Canadian housing market showed fresh signs of momentum in June, with home sales continuing their upward trend and prices stabilizing after several months of declines, according to the latest report from the Canadian Real Estate Association (CREA). While activity remains below historical highs, buyers are clearly stepping back in, especially in the Greater Toronto Area, where sales have been on a rebound since spring.
Sales see second month of gains
Home sales recorded over Canadian MLS® Systems climbed 2.8% in June compared to May. This follows a 3.5% increase the month before, marking two solid months of recovery. Sales in the GTA have risen 17.3% cumulatively since April – a strong signal that buyers are becoming more active in one of the country’s largest markets.
Compared to June 2024, national sales activity was up 3.5%, further reinforcing the trend.
“At the national level, June was pretty close to a carbon copy of May, with sales up about 3% on a month-over-month basis and prices once again holding steady,” said Shaun Cathcart, CREA’s Senior Economist, in the report. “It’s another month of data suggesting the anticipated rebound in Canadian housing markets may have only been delayed by a few months, following a chaotic start to the year; although with the latest 35% tariff threat, we’re not out of the woods yet.”
Fewer new listings tighten the market
While more homes are selling, fewer are hitting the market. New listings dropped 2.9% month over month, helping tighten market conditions. As a result, the national sales-to-new-listings ratio rose to 50.1% in June, up from 47.3% in May, pushing the market further into balanced territory.
At the end of June, there were just over 206,000 properties listed for sale across Canada – about 4.7 months worth – 11.4% higher than this time last year.
Prices hold steady after spring declines
The national MLS® Home Price Index (HPI) slipped just 0.2% from May to June, a modest change following three consecutive months of roughly 1% declines. Year over year, the HPI was down 3.7%.
The national average home price came in at $691,643 in June, down 1.3% compared to June 2024.
“Most housing markets continued to turn a corner in June, although market conditions still vary considerably depending on where you are in Canada,” said Valérie Paquin, CREA’s Chair. “If the spring market was mostly held back by economic uncertainty, barring any further big shocks, that delayed activity could very likely surface this summer and into the fall.”