The Canadian Real Estate Association (CREA) reported a decline in residential property sales for October compared to the previous year. A total of 42,068 homes were sold across Canada last month, marking a 4.3 percent decrease from October 2024. However, there was a slight increase of 0.9 percent in sales from September, representing the sixth month-over-month rise in the past seven months.

"After a brief pause in September, home sales across Canada picked back up again in October, rejoining the trend in place since April," said Shaun Cathcart, a senior economist at CREA. He noted that with interest rates nearing stimulative levels, the housing market is expected to become more active as it heads into 2026, although ongoing economic uncertainty may temper this growth.

The month-over-month increase in sales was primarily driven by gains in British Columbia, Alberta, and Quebec. Conversely, sales fell in Ontario, Saskatchewan, and Manitoba. Rishi Sondhi, an economist at TD, commented on the situation, stating, "The recovery narrative dominating Canadian housing discourse remains firmly intact. That said, sales levels are still relatively low, so we'd be hard pressed to call the recovery robust."

Looking ahead, Sondhi anticipates that sales will continue to rise gradually, supported by pent-up demand and improvements in job markets next year.

In terms of pricing, the national average sale price for homes in October was $690,195, which is a 1.1 percent decrease from the same month last year. CREA's home price index, which reflects typical home sales, saw a slight increase of 0.2 percent from September to October 2025, but it was down 3 percent year-over-year.

Sondhi added, "This improving demand backdrop should keep Canadian average home price growth in positive territory, backed by tight supply and demand balances across much of the country." However, he noted that market conditions in British Columbia and Ontario favor buyers, which may restrain price growth in those regions for the coming months.

CREA also reported a 1.4 percent decrease in new listings month-over-month. At the end of October, there were 189,000 properties listed for sale across Canada, reflecting a 7.2 percent increase from the previous year.