In August, the Canadian Real Estate Association reported a decrease in home sales compared to the previous year amid emerging economic challenges that could slow down the housing market’s momentum for the rest of the year. Home sales for the month totaled 37,504, marking a 6.9% decline from August 2025. When seasonally adjusted, activity dropped by 0.7% compared to July 2026.
Senior economist Shaun Cathcart from CREA mentioned that the rising risks of inflation and potential interest rate hikes have contributed to a weaker economic environment, which may impact sales performance. The national average sale price of homes sold in August reached $668,219, showing a modest 0.6% increase year-over-year.
In terms of new listings, CREA reported a 3.3% month-over-month increase in August, breaking a three-month streak of consecutive declines earlier in the summer.