Home sales in Canada recovering, but buyers still cautious, data shows – National

Canada saw higher housing sales in October compared with September as data suggests there are signs of recovery after a slow spring market.

While there was a 0.9 per cent increase in October sales compared with September, there was a 4.3 per cent decline when compared with the same period last year.

There were 42,068 home sales in Canada in October, data from the Canadian Real Estate Association said.

Before September, housing sales had seen five months of growth. October saw sales pick back up again.

2:13
Business Matters: August national home sales in Canada hit 4-year high

“After a brief pause in September, home sales across Canada picked back up again in October, rejoining the trend in place since April,” CREA senior economist Shaun Cathcart said.

The average sale price of a home sold in Canada in October was $690,195, which was down 1.1 per cent compared with October last year.

Get weekly money news

Get expert insights, Q&A on markets, housing, inflation, and personal finance information delivered to you every Saturday.

However, most buyers are still feeling cautious about jumping into the housing market, NerdWallet Canada mortgage expert Clay Jarvis said.

“Sales last month were actually lower than they were in August, before the bank delivered back-to-back rate cuts in September and October. Seasonality could be a factor, but with variable mortgage rates at their lowest level in over three years, something more than the weather is holding people back,” he said.

2:03
What does Canada’s latest interest rate cut mean for housing and food inflation?

There were fewer new listings in Canada this month compared with last year, with new supply declining 1.4 per cent compared with September. There were 189,000 properties listed for sale across Canada at the end of October, up 7.2 per cent from a year earlier, CREA said.

“On the bright side, sales increased in seven provinces, and there’s hope that the market will generate some momentum in the fourth quarter,” Jarvis said.

Signs in the housing market are pointing towards a possible recovery into the winter and the spring, with stronger housing sales expected in 2026, CREA said.

“With interest rates now almost in stimulative territory, housing markets are expected to continue to become more active heading into 2026, although this is likely to be tempered by ongoing economic uncertainty,” Cathcart said.

&copy 2025 Global News, a division of Corus Entertainment Inc.