Home sales in Canada continued to rise in November, up 2.8% from October and 18.4% higher than in May, before the first interest rate cut. The boost was driven by gains in Greater Vancouver, Calgary, Greater Toronto, Montreal, and some smaller cities in Alberta and Ontario.

"Sales not only increased, but tighter market conditions also pushed prices up at the national level for the first time in over a year and a half," said Shaun Cathcart, CREA’s Senior Economist. "With the Bank of Canada’s recent rate cut and changes to mortgage rules, we might see a more active winter market than usual."

November Highlights:

• National sales rose 2.8% month-over-month.

• Sales were 26% higher than November 2023.

• New listings were down 0.5% month-over-month.

• The HPI increased by 0.6% from October but is down 1.2% year-over-year.

• The average sale price rose 7.4% from last year.

The sales-to-new listings ratio tightened to 59.2%, up from 57.3% in October, indicating a shift toward a more balanced market.

At the end of November, there were over 160,000 properties listed for sale—8.9% more than last year, but still below the typical level for the season. Inventory dropped to 3.7 months, the lowest in 14 months.

The national average home price in November was $694,411, up 7.4% from last year.