OTTAWA, Dec. 16, 2013 /CNW/ - According to statistics released today by
The Canadian Real Estate Association (CREA), national home sales were
little changed in November compared to October.
National home sales edged 0.1% lower from October to November.
Actual (not seasonally adjusted) activity was 5.9% above November 2012
The number of newly listed homes rose 1.8% from October to November.
The Canadian housing market remains in balanced territory.
The national average sale price rose 9.8% on a year-over-year basis in
The MLS® Home Price Index (HPI) rose 4.1% year-over-year in November.
The number of home sales processed through the MLS® Systems of Canadian
real estate Boards and Associations and other co-operative listing
systems was little changed in November 2013 compared to October, edging
down by one tenth of one per cent.
National sales activity in November stood 3.4 per cent below the peak
reached in September, providing further evidence that activity in the
later summer and early fall was likely boosted by homebuyers with
pre-approved mortgages at lower than current interest rates jumping
into the market before their pre-approvals expired.
"Tightened mortgage regulations, combined with the recent increase in
the five-year mortgage rate, have affected housing markets differently
depending on their location," said CREA President Laura Leyser.
"Because all real estate is local, your REALTOR® remains your best
resource for understanding how the housing market is shaping up where
you live or might like to."
Local markets where sales improved on a month-over-month basis ran
roughly even with the number in which activity edged back in November,
with a decline in Greater Toronto offsetting an increase in Greater
November's seasonally adjusted sales figure stood slightly above (0.7
per cent) but roughly in line with the average for monthly sales over
the past 10 years.
Actual (not seasonally adjusted) activity was up 5.9 per cent from
November 2012. Year-over-year increases were posted in about half of
all local markets, led by gains in Greater Vancouver, Calgary,
Edmonton, and Greater Toronto.
On an actual (not seasonally adjusted) basis, a total of 434,678 homes
have traded hands across the country so far this year. This represents
an increase of 0.2 per cent compared to levels recorded in the first 11
months of 2012.
"While there has been a lot of volatility in sales activity from month
to month, sales for the year to date are on par with fairly steady
levels posted for the same time period in each of the past five years,"
said CREA Chief Economist Gregory Klump.
The number of newly listed homes rose 1.8 per cent on a month-over-month
basis in November. New supply was up in a little over half of all local
markets, with a jump in BC's Lower Mainland outstripping small declines
in Greater Toronto and Ottawa.
With sales activity flat on a month-over-month basis and new listings
up, the national sales-to-new listings ratio slipped to 53.4 per cent
in November compared to 54.5 per cent in October. This remains well
within balanced market territory, as has been the case since early
Based on a sales-to-new listings ratio of between 40 to 60 per cent,
about three out of every five local markets were in balanced market
territory in November.
The number of months of inventory is another important measure of
balance between housing supply and demand. It represents the number of
months it would take to completely liquidate current inventories at the
current rate of sales activity.
There were 6.0 months of inventory at the national level at the end of
November, unchanged from one month earlier. As with the sales-to-new
listings ratio, the current level of the months of inventory measure
indicates that the Canadian housing market remains well balanced.
"Most housing markets are in balanced market territory, including in
many large urban centres where sales are below peaks reached earlier
this year," said Klump. "On balance, current trends provide more
evidence that the Canadian housing market remains well behaved while
interest rates remain low."
The actual (not seasonally adjusted) national average price for homes
sold in November 2013 was $391,085, an increase of 9.8 per cent from
the same month last year.
The size of year-over-year average price gains continues to reflect the
decline in sales activity last year in some of Canada's larger and more
expensive markets which caused the national average price to drop at
Removing Greater Vancouver and Greater Toronto from national average
price calculations, the year-over-year increase is more than cut in
half to 4.3 per cent.
The MLS® Home Price Index (MLS® HPI) provides a better gauge of price
trends, as it is not affected by changes in the mix of sales activity
the way that average price is.
The Aggregate Composite MLS® HPI rose 4.11 per cent compared to November
2012. Year-over-year price growth picked up among all property types
tracked by the index with the exception of townhouse/row units.
Year-over-year price gains were led by one-storey single family homes
(+4.88 per cent). This was closely followed by two-storey single family
homes (+4.59 per cent), townhouse/row units (+3.13 per cent) and
apartment units (+2.46 per cent).
Year-over-year price growth in the MLS® HPI was mixed across housing
markets tracked by the index, led by Calgary (+8.82 per cent) and
Greater Toronto (+5.69 per cent). Greater Vancouver recorded the first
year-over-year increase (+1.02 per cent) since prices turned lower last
PLEASE NOTE: The information contained in this news release combines
both major market and national sales information from MLS® Systems from
the previous month.
CREA cautions that average price information can be useful in
establishing trends over time, but does not indicate actual prices in
centres comprised of widely divergent neighbourhoods or account for
price differential between geographic areas. Statistical information
contained in this report includes all housing types.
MLS® Systems are co-operative marketing systems used only by Canada's
real estate Boards to ensure maximum exposure of properties listed for
The Canadian Real Estate Association (CREA) is one of Canada's largest
single-industry trade associations, representing more than 106,000
REALTORS® working through more than 90 real estate Boards and
Further information can be found at http://crea.ca/statistics.
SOURCE: Canadian Real Estate Association
For further information:
Pierre Leduc, Media Relations
The Canadian Real Estate Association
Tel.: 613-237-7111 or 613-884-1460