Canadian Home Sales Inch Higher in December 2022

The Canadian Real Estate Association (CREA) reported on Monday (1-16-23) that home sales recorded over Canadian MLS® Systems moved 1.3% higher between November and December 2022. The actual (not seasonally adjusted) number of transactions in December 2022 came in 39.1% below the near record high in December 2021.

CREA reports that the number of newly listed homes dropped by 6.4% month-over-month in December. It was one of the lowest December new supply levels on record. As a result, on a month-over-month basis, the sales-to-new-listing ratio tightened to 54.4% compared to 50.2% reported in November. The long-term average for this measure is 55.1%.

At the end of December 2022, there was 4.2 months of inventory on a national basis. CREA says that number is close to where this measure was in the months leading up to the initial COVID-19 lockdowns, and still nearly a full month below its long-term average.

The Aggregate Composite MLS® Home Price Index (HPI) edged 1.6% lower on a month-over-month basis in December 2022, continuing the trend that started last spring. The Aggregate Composite MLS HPI now is about 13% below its peak level. The non-seasonally adjusted Composite HPI is 7.5% below its December 2021 reading.

FEA compiles the Wood Markets News from various 3rd party sources to provide readers with the latest news impacting forest product markets. Opinions or views expressed in these articles do not necessarily represent those of FEA.