Canadian Home Sales Rise for Fourth Month as Market Rebalances

Nationally, months of inventory stood at 4.7 at the end of July, the lowest level of 2026 and slightly below the long-term average of 5.0. A seller's market is below 3.6 months, a buyer's market above 6.4.

Total listings on Canadian MLS Systems at the end of July stood at 205,388, up 0.6% from a year earlier and 1.5% above the long-term average for that time of year. Supply has been sliding sideways for over a year.

Most provinces have converged toward long-term averages. Saskatchewan and New Brunswick are still borderline sellers' markets. Newfoundland and Labrador is in the same territory. Ontario's months of inventory was only about half a standard deviation above the average in July, after being in buyers' market territory for the first four months of the year.

The National Composite MLS Home Price Index rose 0.1% from June to July, the first increase since November 2024.

"The ongoing shift towards a more normal balance is good news for buyers," said Garry Bhaura, CREA chair. "More moderate housing market conditions can be expected to continue to bring buyers off the sidelines."