Canadian Home Sales Increase for the First Time in 2025; Are Home Buyers Regaining Confidence?
For the first time since November last year, Canadian home sales were up when comparing month-over-month data.
The latest data from the Canadian Real Estate Association (CREA) shows the number of home sales rose 3.6% in May compared to April, a potential sign home buyers are regaining confidence following months of tariff talk and uncertainty that came with such polices from U.S. President Donald Trump. The main markets moving the needle most were the Greater Toronto Area, Calgary and Ottawa.
“We had predicted a rebound year—it was supposed to be a ‘slam dunk’ forecast—and obviously the whole tariff uncertainly chaos sort of derailed that for a time,” said Shaun Cathcart, CREA’s Senior Economist, in this month’s CREA Housing Market Report (watch below). “Some of that rebound that we were expecting may have just moved from the first half of the year to the second, but it’s still not going to be a blow-the-doors-off year, there is still a lot of uncertainly out there, but I think we’ve turned a corner.”
Here’s a snapshot of the recently released CREA data:
- National home sales were up 3.6% in May compared to April.
- Actual (not seasonally adjusted) monthly activity came in 4.3% below May 2024.
- The number of newly listed properties rose 3.1% on a month-over-month basis.
- The MLS® Home Price Index (HPI) was almost unchanged (-0.2%) month-over-month and was down 3.5% on a year-over-year basis.
- The actual (not seasonally adjusted) national average sale price was down 1.8% on a year-over-year basis.
- www.crea.ca
Summer Plans? Stay Local, Spend Local: Majority of Canadians Intend to Support Small Businesses While Travelling Domestically this Summer
Almost three-quarters (73%) of Canadians will consider travelling to a destination to visit a unique business or attraction.
In this season of economic uncertainty, there’s one thing Canadian businesses can undoubtedly look forward to: summer is coming and tourism is trending up.
A recent survey by TD Bank Group found 89% of Canadians feel it’s important to support small businesses this summer, with 64% of Canadians planning to travel within Canada in the coming months. The biggest economic boon to small business? The survey found 63% of Canadians will research shops, restaurants, and attractions ahead of time, with 73% considering travel to a destination to visit a unique business or attraction they researched.
TD Economics also projects tourism to outperform other industries in Canada with the boost being fueled by Canadians looking to spend more of their travel dollars at home, and international tourists looking to Canada and other regions for summer vacation.
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