Home sales across Canada spiked by 11.3% in April compared with the previous month as activity in the housing market continued to gather pace.
While April sales were 19.5% lower than the same month last year, CREA noted that the yearly decline was much less pronounced than in previous months – a sign that the housing market slowdown over the last 8 months may be at or near its end.
The actual average home price continued its recent resurgence, rising to $716,000 – up $103,500 since the beginning of the year, although still 3.9% below its level at the same time last year.
With low supply and high demand for ownership, expect prices to continue trending upwards as we are starting to see low list prices and offer presentations typically geared to get multiple offers and higher purchase prices.
Unfortunately this could lead to many potential homebuyers getting priced out of the market in their area leading to tough decisions – do they move further away to areas that fit their affordability or do they just keep renting – as rental rates continue to climb as well.