Different areas across the country are experiencing different dynamics in their real estate markets. Based on data from the Canadian Real Estate Association (CREA) on 27 major markets, Zoocasa took a look to see which markets are favouring buyers, which are favouring sellers and which are balanced. Here’s what they found.
None of the 27 major real estate markets analyzed currently lean in favour of buyers, mirroring last spring’s trends (though winter 2023 saw balanced markets in regions such as Niagara, Greater Toronto, Hamilton-Burlington and Victoria).
A shift into balance
This year, five markets, including Gatineau, Quebec, Newfoundland & Labrador, Ottawa, Hamilton-Burlington and Kitchener-Waterloo in Ontario, have transitioned into a balanced state, where supply meets demand, making the total number of balanced markets 11.
Prices up in Edmonton and Gatineau
Notably, Edmonton shifted from a balanced to a seller’s market this spring, indicating heightened buyer interest compared to the previous year. Conversely, Gatineau experienced a considerable decline, with a 17 per cent decrease in transitioning towards balance.
In Edmonton, the average home price surged by 12 per cent to $398,960, while Gatineau saw a 5 per cent increase, with homes averaging $472,375. Despite these increases, both markets remain more affordable than the national average home price of $685,809.
16 major markets in seller’s territory
16 markets are in seller’s territory, marked by housing scarcity or high buyer demand. Quebec CMA leads here, with a sales-to-new-listings ratio (SNLR) of 84 per cent, followed by Saint John, N.B. and Halifax-Dartmouth at 80 per cent and 79 per cent, respectively. Despite price increases, these markets remain below the national average.
Saint John saw a 21 per cent increase in average home prices, reaching $303,271, Quebec CMA experienced an 11 per cent jump to $384,430 and Halifax-Dartmouth saw a more moderate 4 per cent increase to $561,454.
While sellers may be motivated by potential returns on investment, stabilized Bank of Canada rates could prompt buyers in these areas to adopt a cautious approach before making purchases.
Check out the full report here.
