OTTAWA – The Canadian Actual Property Affiliation is forecasting the nation will wrap the 12 months with fewer residence gross sales than it beforehand predicted because it says tight provide circumstances will proceed to push housing prices up.
The affiliation is forecasting about 656,300 properties will change fingers this 12 months, an nearly 19 per cent improve from 2020 ranges, however an nearly 4 per cent lower from the 682,900 it predicted earlier this 12 months.
The affiliation says the record-setting quantity it’s predicting is a downward revision as a result of gross sales fell extra quickly than predicted this spring.
CREA says the the nationwide common residence value is now anticipated to achieve $680,000 this 12 months, up 19.9 per cent from final 12 months. The sooner forecast had predicted a mean value of almost $678,000 for 2021.
Canadian residence gross sales are forecast to fall by 12.1 per cent to round 577,000 in 2022, whereas costs are anticipated to rise by 5.6 per cent on an annual foundation to achieve about $718,000 subsequent 12 months.
The brand new forecast got here as CREA says month-over-month residence gross sales edged again by 0.5 per cent to 48,379 in August. In contrast with a 12 months in the past, residence gross sales final month have been down 14 per cent.
This report by The Canadian Press was first revealed Sept. 15, 2021.