Housing market fire still sizzling in 2nd-busiest September ever, CREA reports

Fifteen of the 26 markets CREA tracks saw a rise in sales in September.

The Canadian Real Estate Association says September home sales edged up on a month-over-month basis for the first time since March.

The association said Friday that home sales for the month amounted to 48,949, their second-highest ever for September and a 0.9 per cent increase from 48,498 in August.

Fifteen of the 26 markets CREA tracks saw a rise in sales in September.

However, sales were down 17.5 per cent from September 2020, when a record was reached for the month.

The numbers indicate that the country’s housing market remains strong because the level of sales in September were still about 10 per cent above pre-COVID levels and 16 per cent higher than the average set over the last decade, said Robert Kavcic, a senior economist at BMO Capital Markets.

“One can’t help but feel as though the Canadian housing market is walking on tinder again, with demand holding at historically high levels, listings getting quickly absorbed, and price growth running steady near a 20 per cent pace,” Kavcic said in a note to investors.

His comments came as CREA said the number of newly listed properties in September totalled 65,211, a 1.6 per cent fall from 66,293 in August.

The national average home price was $686,650 in September, up 13.9 per cent from $602,657 last year.