In May, Canadian home sales decreased by 5.1% compared to the same period last year, as reported by the Canadian Real Estate Association. However, there was a notable positive shift from April, with a 5.5% increase in activity. The national composite housing price index experienced a marginal 0.1% decline on a month-over-month basis.
Despite a continuous decline in the index over the past 18 months, May’s decrease was the smallest since January 2025, according to Shaun Cathcart, CREA’s senior economist. Cathcart noted that prices are starting to stabilize as buyers and sellers are finding more common ground.
The housing market conditions have been gradually improving, with tightening sale-to-list price ratios and shorter listing-to-sale timeframes indicating growing alignment between sellers and buyers. New listings in May saw a one percent decrease month-over-month, with over 200,000 homes listed for sale on MLS systems nationwide by the end of the month.
Regionally, home prices saw declines in British Columbia, Ontario, and Alberta, as per CREA’s data analysis.
