CANADA HOUSING MARKET: HOUSING RESALE ACTIVITY PICKED UP IN MAY 2025…ARE WE WITNESSING EASING EFFECTS FROM TRADE-RELATED UNCERTAINTY ON HOUSING DEMAND?

SUMMARY

National housing resale activity increased from April to May with both sales and new listings rising, leaving market conditions relatively unchanged over this period.

Sales increased 3.6% (sa figures) nationally from April to May, following a 0.8% increase from March to April (revised from an initially published -0.1% decline). Despite monthly increases in the last 2 months, national sales were -4.3% (nsa) weaker in May 2025 than in May 2024. In May 2025, national sales were about 35% lower than their February 2022 level, the month just before the Bank of Canada started its tightening cycle for its policy rate.

National new listings rose 3.1% (m/m sa) in May and were 8% higher (nsa) than their level in the same month of 2024. In May, new listings continued their upward trend since their recent trough in March 2023. From this period to May 2025, national new listings increased by more than 40% (from sa figures).

With the modestly stronger increase in national sales than for new listings, the national sales-to-new listings ratio tightened negligibly, rising from 46.8% to 47.0% from April to May, suggesting resale conditions stayed essentially unchanged over this period and are still within the estimated balanced conditions range, but very close to the buyers’ favouring conditions zone. Indeed, observed (sa) levels for this indicator in the last 3 months were the lowest since February 2009.

https://www.scotiabank.com/ca/en/about/economics/economics-publications/post.other-publications.housing.housing-news-flash.june-16--2025.html