In April, the Canadian Real Estate Association reported a decrease in home sales compared to the previous year, accompanied by a rise in the average sale price. The total number of home sales for April was 42,927, a 4% drop from April 2025. However, there was a 0.7% increase in home sales on a seasonally adjusted basis from March to April.
CREA’s senior economist, Shaun Cathcart, noted that global economic uncertainty and higher mortgage rates have tempered the expected housing market rebound for the year. Despite a slight uptick in activity from March to April, sales levels remained approximately 10% below the usual April standards. BMO chief economist Douglas Porter emphasized that the housing market continues to show subdued signs, indicating no significant recovery.
The national average sale price of a home in April stood at $695,412, marking a 2.2% increase year-over-year. However, CREA’s home price index, representing typical home sales, decreased by 0.1% between March and April and was down by 4.2% year-over-year.
New listings in April rose by 4.1% compared to the previous month, signaling the traditional start of the spring real estate market. At the end of April, there were 187,647 properties listed for sale nationwide, a 2.2% increase from the previous year but still 6.1% below the long-term average for that period.
CREA revised its 2026 home sales forecast, now predicting only a 1% growth, down from the initial 5.1% projection due to the impact of the oil price shock on mortgage rates. The forecast for the national average home price in 2026 anticipates a 1.5% annual increase to $688,955, slightly lower than previously estimated.
The narrowing gap between listing and selling prices in April may signal a potential market revival. However, Porter indicated that ongoing affordability challenges and the unlikelihood of further rate cuts by the Bank of Canada could delay any substantial market recovery.
Regional price variations were observed, with declines in British Columbia, Alberta, and Ontario offsetting gains in other provinces. In Toronto, the average home price dropped by 6.3% compared to the previous year and 13% compared to 2023 prices. Porter concluded that while regional differences persist, much of the country continues to experience subdued real estate activity.
