Canadian Housing Market Poised for Spring Rebound Following 2024 Sales Surge

Despite a December slowdown, economists predict pent-up demand and lower interest rates will drive a strong real estate market in 2025.

Home sales in Canada rose 10% in the fourth quarter of 2024 compared to the previous quarter, marking one of the busiest quarters in two decades outside of the pandemic.
December home sales declined 5.8% month-over-month but were still 19.2% higher than the same month in 2023.
The Bank of Canada has reduced its policy interest rate to 3.25% since June 2024, with further cuts anticipated, contributing to improved affordability for buyers.
The national average home price in December 2024 increased by 2.5% year-over-year to $676,640, while the CREA Home Price Index rose 0.3% monthly.
Economists and real estate experts forecast significant market activity in spring 2025 as interest rates stabilize and sellers list properties in greater numbers.