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Home sales in Canada rose for the fifth month in a row in August 2025, according to CREA. Seasonally adjusted sales climbed about 1.1% from July, reaching 43,276 units—the strongest August sales since 2021. However, prices didn’t follow the same upward trend: CREA’s Home Price Index edged down 0.1% month-over-month and was off 3.4% compared to the previous year. The national average selling price (not seasonally adjusted) was up 1.8% year-over-year.

The upward pressure on sales came mostly from some large markets: Montreal, Greater Vancouver, and Ottawa contributed noticeably to the increase, helping offset a slowdown in the Greater Toronto Area. In some of these regions, buyer activity is picking up more strongly, suggesting that buyer hesitancy (from earlier in the year) is easing.

Looking ahead, sales momentum may continue, especially if interest rates are cut. CREA economists see potential boost if the Bank of Canada lowers its rate—many expect a cut on September 17—and that could draw more buyers off the sidelines.But there are constraints: affordability remains stretched in some provinces, and weaker labour market or economic conditions could dampen further gains. Also, while sales are rising, the price growth remains weak or negative in many places, so balancing supply vs demand will continue to be important.

Read the full article on: CBC