Canadian Home Sales Skyrocket by 22% in January
The Canadian Real Estate Association (CREA) recently released data showing a significant surge in home sales in January. Compared to the same period last year, home sales jumped by an impressive 22%, making it the largest year-over-year gain since May 2021.
This remarkable increase comes as a relief following a weak start to the year in 2020, which was one of the worst experienced in the past two decades. The rebound in home sales demonstrates a positive shift in the market, reflecting the recovery from the challenging conditions faced in the previous two years.
When considering a seasonally adjusted basis, CREA reveals that home sales in January were up by 3.7% compared to December 2023. This growth further reinforces the upward trajectory of the Canadian real estate market and indicates improving conditions for both buyers and sellers.
Shaun Cathcart, Senior Economist at CREA, highlights the positive trends and suggests that the market is slowly turning a corner while still overcoming the weaknesses of the past two years. The increase in newly listed properties, up by 1.5% month-over-month, indicates growing confidence among sellers and contributes to the overall market revival.
Moreover, the national average home price in January stood at $659,395, showing a substantial increase of 7.6% compared to January 2023. This considerable rise in prices further underlines the improved market conditions and indicates a strong demand for Canadian real estate.
In conclusion, the Canadian real estate market experienced a substantial boost in home sales during January, with a notable 22% year-over-year increase. This marks the most significant surge since May 2021 and reflects the recovery from the weak start to the previous year. With improving trends and a growing number of listed properties, the market appears to be turning a corner and working through the challenges of the past two years. The rise in average home prices further reinforces the positive outlook, showcasing a strong demand for Canadian properties in the current market.