In August, the Canadian Real Estate Association reported a decline in home sales compared to the previous year, amidst emerging economic challenges that could impact the housing market’s growth for the rest of the year. Total home sales for the month reached 37,504, marking a 6.9% decrease from August 2025. Adjusted for seasonal variations, activity dropped by 0.7% from July 2026.
According to Shaun Cathcart, CREA’s senior economist, the looming threats of increasing inflation and potential interest rate hikes have created a less favorable economic climate that may hinder sales. The national average sale price for homes sold in August stood at $668,219, reflecting a modest 0.6% increase from the previous year.
August saw a 3.3% rise in new listings compared to the previous month, following a three-month decline earlier in the summer, signaling a shift in market dynamics.
