Following a slump in real estate sales in the month of April 2020, national home sales and new listings were up noticeably in May 2020, according to the statistics shared by the Canadian Real Estate Association.
The figures released by the Real Estate Association indicate a positive outlook in the market. National home sales rebounded by 56.9 per cent on a month-over-month basis in the month of May. In addition, the number of newly listed properties was also up 69 per cent from April to May.
Similarly, transactions were on a rise on a month-over-month basis across Canada. In the Greater Toronto Area, sales were up by 53 per cent, Montreal recorded 92.3 per cent, 31.5 per cent in Greater Vancouver, 68.7 per cent in Calgary, 46.5 per cent in Edmonton, 45.6 per cent in Winnipeg, 69.4 per cent in Hamilton-Burlington and 30.5 per cent in Ottawa. However, actual sales activity was still 39.8 per cent under last May, the report revealed. Year-over-year declines in the larger market areas were clumped in the 40-50 per cent range.
“May’s housing numbers are certainly a mixed bag of results – sales and new listings are both way up month-over-month but still way down compared to year ago,” said Shaun Cathcart, CREA’s Senior Economist. “The big picture is things are moving in the right direction but still have a long way to go. That said, under the surface those numbers have been steadily rising from mid-April right through the first week of June, so June may end up a similar story. With sales and new listings moving down and now back up in tandem, and overall supply still falling, prices appear to be holding firm at this point.”
In other positive development, the number of newly listed properties soared by 69 per cent in the month of May compared to April 2020. Relating to sales activity, gains were reported across the country, the report added. The sales-to-new listings ratio dropped to 58.8 per cent compared to 63.3 per cent in April.
The pandemic is also said to have witnessed a miniature decline in property prices in British Columbia and on the other hand, the declining trends which were already seen in places such as Alberta have increased. The actual national average price for properties sold in May 2020 was $494,500, which was down 2.6 per cent in comparison to May of the previous year.