2024 Housing Market Forecast
- The average selling price of a home in Canada increased by 0.4% year-over-year to $707,800 in January 2024
- The average selling price of a single-family home in Canada increased by 0.8% year-over-year to $776,300 in January 2024.
The average selling price of a townhouse/multiplex in Canada increased by 0.9% year-over-year to $655,400 in January 2024.
The average selling price of a condo in Canada increased by 1.1% year-over-year to $526,500 in January 2024.
The average rent in Canada increased by 10% year-over-year to $2,146 for January 2024.
Canada Housing Market Summary
- Data from the Canadian Real Estate Association (CREA) indicates that the benchmark price of resale residential homes sold across Canada in January 2024 was $707,800, and it increased by 0.4% compared to a year ago.
- CREA also reported a sales-to-new-listings ratio (SNLR) of 59%, indicating a balanced market nationally for January 2024.
- After a slow second half in 2023, home sales in Canada are showing signs of recovery. Between December 2023 and January 2024, sales increased by 3.7%, following a 7.9% rise the previous month. However, sales are still about 9% below the 10-year average.
How will higher rates affect the 2024 housing market?
- RBC assistant chief economist Robert Hogue tells Global News that he expects activity to pick up ahead of the traditionally busier spring market, but high borrowing costs will continue to subdue homebuying in the first half of 2024.
- A decline in fixed mortgage rates tied to softening bond yields might incentivize some buyers to jump into the spring market, he says, namely investors who are looking to time the price trough.