Canadian home sales activity projected to decrease 14.7% year-over-year to 568,288 units in 2022; national sales forecast at 552,403 units in 2023, a decrease of 2.8% from 2022: CREA

Sample article from our Housing & Economy

OTTAWA , September 15, 2022 (press release) –

The Canadian Real Estate Association (CREA) has updated its forecast for home sales activity via the Multiple Listing Service® (MLS®) Systems of Canadian real estate boards and associations in 2022 and 2023.

With interest rates on the rise, and with 5-year fixed rates getting well out ahead of what the Bank of Canada is expected to do later this year, home sales have cooled sharply in recent months. Prices have also been halted in their tracks following a record setting five months of growth between October 2021 and February 2022.

A critical element of the story has been the impact that discounted 5-year fixed mortgage interest rate levels have had on the stress test. In April 2022 alone, discounted 5-year fixed rates increased from the low 3% range to the low 4% range. The stress test is the higher of 5.25% or the contract rate plus 2%. For fixed rate borrowers, qualifying for the stress test has moved from 5.25% to the low 6% range – close to a 1% increase. Variable rates will now be playing catch-up over the balance of 2022.

Some 568,288 properties are forecast to trade hands via Canadian MLS® Systems in 2022 — a decline of 14.7% from the 2021 record but still the second-highest annual figure ever. With conditions in the market changing quite rapidly, this was a considerable downward revision from the previous forecast published in March. Only Alberta and Newfoundland and Labrador are forecast to buck the trend of falling sales in 2022.

The national average home price is forecast to rise by 10.8% on an annual basis to $762,386 in 2022. Price gains are forecast to be largest in the Maritime provinces, followed by Ontario and Quebec.

National home sales are forecast to edge back a further 2.8% to 552,403 units in 2023. The national average home price is forecast to rise by a modest 3.1% on an annual basis to $786,282 in 2023.

About the Canadian Real Estate Association
The Canadian Real Estate Association (CREA) is one of Canada’s largest single-industry associations. CREA works on behalf of more than 150,000 REALTORS® who contribute to the economic and social well-being of communities across Canada. Together they advocate for property owners, buyers and sellers.

For more information, please contact:
Pierre Leduc, Media Relations
The Canadian Real Estate Association
Tel.: 613-237-7111 or 613-884-1460


* All content is copyrighted by Industry Intelligence, or the original respective author or source. You may not recirculate, redistrubte or publish the analysis and presentation included in the service without Industry Intelligence's prior written consent. Please review our terms of use.

See our dashboard in action - schedule an demo
Jason Irving
Jason Irving
- SVP Enterprise Solutions -

We offer built-to-order housing & economy coverage for our clients. Contact us for a free consultation.

About Us

We deliver market news & information relevant to your business.

We monitor all your market drivers.

We aggregate, curate, filter and map your specific needs.

We deliver the right information to the right person at the right time.

Our Contacts

1990 S Bundy Dr. Suite #380,
Los Angeles, CA 90025

+1 (310) 553 0008

About Cookies On This Site

We collect data, including through use of cookies and similar technology ("cookies") that enchance the online experience. By clicking "I agree", you agree to our cookies, agree to bound by our Terms of Use, and acknowledge our Privacy Policy. For more information on our data practices and how to exercise your privacy rights, please see our Privacy Policy.