Canadian Home Sales Fall 1.9% Month-Over-Month in September

The Canadian Real Estate Association (CREA) reported on Friday (10-13-23) that home sales recorded over Canadian MLS® Systems declined 1.9% between August and September. The September decline marked the third consecutive monthly decline; however, it was only about half as large as the drop recorded in August.

The actual, not seasonally adjusted number of transactions came in 1.9% higher year-over-year.

The number of newly listed homes climbed 6.3% month-over-month in September, making for a cumulative gain of approximately 35% from the 20-year low reached in March. New listings are currently trending near average levels.

According to CREA, at the end of September, there was a 3.7-month inventory on a national basis—up from 3.5 months in August and its recent low of 3.1 months in June. CREA notes that the current level remains below the levels recorded through the second half of 2022 and well below its long-term average of about 5.0 months.

Finally, the Aggregate Composite MLS® Home Price Index (HPI) declined 0.3% on a month-over-month basis in September, the first decline since March 2023. The actual (not seasonally adjusted) national average home was $655,507 in September, up 2.5% from a year earlier.