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The Canadian Real Estate Association (CREA) has revised its outlook for the national housing market, projecting a significant increase in both home sales and average prices for 2024. Originally predicting a 10.4 per cent rise in home sales and a modest 2.3 per cent increase in average home price, CREA now anticipates a 10.5 per cent surge in home sales and a substantial 4.9 per cent climb in the national average home price, now estimated at $710,468. This revision reflects factors such as robust population growth, a more accommodative stance from the central bank, and the potential impact of anticipated interest rate cuts on market dynamics.

Senior economist Shaun Cathcart from CREA suggests that the housing market may witness a blend of cautiousness due to high interest rates, juxtaposed with a surge in activity prompted by expected rate cuts. The recent uptick in home sales, with March figures showing a 1.7 per cent increase year-over-year and a 0.5 per cent rise month-over-month, underpins the evolving market sentiment. However, the supply-demand imbalance persists, with a decline in newly listed homes and inventory levels remaining below the long-term average, indicating ongoing pressure on prices.

Read the full article on: CTV NEWS