In April, the Canadian Real Estate Association reported a decrease in home sales compared to the previous year, while the average sale price increased. Home sales for the month totaled 42,927, a 4% drop from 44,698 in April 2025. However, on a seasonally adjusted basis, home sales in April rose by 0.7% compared to March.
CREA’s senior economist, Shaun Cathcart, mentioned that global economic uncertainties and higher mortgage rates have dampened the expected housing market rebound for this year. Despite a slight uptick in home sales from March to April, sales are still approximately 10% below the typical April levels. BMO’s chief economist, Douglas Porter, noted that this increase in activity does not signify a significant turnaround in the housing market.
The national average sale price for a home in April was $695,412, marking a 2.2% year-over-year rise. However, CREA’s home price index, reflecting typical home sales, slightly decreased by 0.1% between March and April and was down by 4.2% compared to the previous year.
New listings in April saw a 4.1% increase on a month-over-month basis, signaling the start of the spring real estate market season. Despite this, the total number of properties listed for sale across Canada at the end of April was 2.2% higher than the previous year but remained 6.1% below the long-term average for that period.
The association revised its 2026 forecast for home sales activity, predicting only a 1% growth compared to the previous year due to the impact of the oil price shock on mortgage rates. The national average home price is expected to rise by 1.5% annually to $688,955 in 2026, slightly lower than the initial prediction.
While the gap between listing and selling prices narrowed in April, suggesting a potential market movement, Porter stated that the housing market recovery expectations have been adjusted due to consumer caution amid rising inflation. Prices in British Columbia, Alberta, and Ontario declined year-over-year, offsetting gains in other provinces. Toronto saw a 6.3% decrease in the average home price compared to the previous year and a 13% drop compared to 2023 prices, indicating subdued market activity across much of the country.