In May, home sales in Canada decreased by 5.1% compared to the same period last year, as reported by the Canadian Real Estate Association. Despite this decline, there was a notable positive shift from April, with total home sales reaching 47,014 in May. On a seasonally adjusted basis, there was a 5.5% increase in activity compared to April.
The national composite housing price index, reflecting the average price of typical homes sold, experienced a marginal 0.1% decrease on a month-over-month basis. Although this index has been decreasing for the past 18 months, CREA’s senior economist Shaun Cathcart noted that May’s drop, apart from April, was the smallest since January 2025. Cathcart mentioned a stabilization in prices as buyers and sellers are finding common ground.
According to Cathcart, the housing market’s conditions have been steadily improving beneath the surface. In terms of new listings, May saw a 1% decrease compared to the previous month, with just over 200,000 homes listed for sale on MLS systems nationwide by the end of May. Regionally, home prices experienced declines in British Columbia, Ontario, and Alberta, as reported by CREA.