Home sales rise for third month in a row

By the Editorial Team · Thursday, July 16, 2026

Home sales in Canada rose for the third straight month in June, while new listings declined, leading to a more balanced housing market according to the Canadian Real Estate Association. This stabilization, supported by steady prices and lower mortgage rates, is expected to boost housing activity in the latter half of 2026.

Canada’s housing market showed signs of continued stabilization in June, as home sales increased for the third consecutive month while new listings declined, according to the Canadian Real Estate Association (CREA). National home sales edged up 0.5 percent from May on a seasonally adjusted basis, following gains of 5.5 percent in May and 0.9 percent in April.

The easing in new listings contributed to this trend, with a 1.3 percent drop recorded for the second straight month. This shift brought the national sales-to-listings ratio to approximately 50 percent for the first time in 2026, indicating a narrowing gap between buyer demand and available supply. Analysts attribute these conditions to a gradual return of buyers in the market alongside constrained inventory levels.

Despite these encouraging sales figures, home prices remained largely stable in June. The national composite MLS Home Price Index showed no change from May, marking the first month without a month-over-month decline since January 2025. The benchmark home price was registered at $657,700, reflecting a 3.6 percent decrease compared with the same period a year earlier. This annual drop, however, represents the smallest price decline since October 2025.

Inventory levels continued to hover near balanced levels, with 208,578 properties listed across the Canadian MLS system — a marginal 0.6 percent increase year over year. The months of inventory, a key indicator of market supply relative to sales, remained stable at 4.8 months, the lowest figure seen so far this year.

Shaun Cathcart, CREA’s senior economist, noted that June’s housing data built on momentum gained after a slow start to 2026, with most metrics moving in a positive direction. Cathcart cited factors such as lower fixed mortgage rates, diminishing expectations of further interest rate hikes by the Bank of Canada, and stabilized home prices as incentives for more buyers to reengage with the market.

Looking ahead, CREA anticipates increased housing activity during the second half of 2026 as these trends continue to unfold.

This article was reported by synthesizing coverage from multiple independent news outlets to present a balanced, unbiased account. Read about our editorial standards. Spotted an error? Let us know.