This article was last updated on April 16, 2022
The Canadian Real Estate Association has reported a slim upgrading in the resale housing market last month, although overall year has been slower than the last. The statement published by the association on Monday mentioned that sales of September have increased 2.5 per cent from August, and this is the first increase since March, which has shown any improvement.
In comparison with last years’ September, the number of deals in this September is still 15.1 per cent less. The association mentioned that even now there is a significant difference between the number of homes for sale and the number of buyers, but the situation has gotten better than before.
CREA credited this slump in the market to the new federal rules making the mortgages difficult for the first-time buyers. The Chief Economist of CREA, Gregory Klump, stated that “national activity is likely to remain down from year-ago levels over the fourth quarter of 2012.” He added that “while some first time home buyers may no longer qualify for mortgage financing under the new rules, it is likely that many others are stepping back and reassessing how much house they can realistically afford, which is one of the things new mortgage rules were designed to do.”
The association pointed out that the country’s most luxurious residential real-estate market, i.e. Vancouver, has skewed the national results. Without Vancouver, the national average price has increased 3.4 per cent from last year.