The Canadian Real Estate Association released a gloomy report stating that the average price of a Canadian home declined by more than 11 per cent in the 12 months up to April.
Besides the decline in price, even the number of sales plunged by 13.9 per cent compared to the previous year’s level falling to their lowest April showing since 2011.
April is typically when home sales are brisk, but this April was the slowest April for new listings in nine years.
Sales were down in 60 per cent of all markets, led by the Fraser Valley in British Columbia, along with markets in and around the Golden Horseshoe area in southern Ontario.
The realtor group placed the blame in part on new stress test rules aimed at tightening lending standards, which came into force in January.
Sales and prices were down. CREA said the average price of a home sold last month went for $495,000. That figure has fallen by 11.3 per cent from April 2017.
But as has been the case for several months, CREA said activity in Toronto and Vancouver is skewing the markets. When both markets were red hot, they were pushing the average up. But now that both markets have cooled, they are pulling it lower.
Meanwhile thousands of realtors in the GTA are anxious as they scramble for business and keep their fingers crossed hoping against hope for a revival in their fortunes which depends on the market. – CINEWS