Canada home prices to drop 12% in 2023, still remain unaffordable for many: Reuters poll

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Canada home prices to drop 12% in 2023, still remain unaffordable for many: Reuters poll
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Average home prices in Canada have already fallen roughly 15% from their early-2022 peak after a year of aggressive interest rate hikes

Single family homes are seen against the Vancouver skyline, CanadaBENGALURU - The drop in home prices in Canada this year will be steeper than forecast three months ago but mild compared with an historic run-up during the COVID pandemic, leaving many first-time buyers still priced out of the market, a Reuters poll showed.

While most analysts said such a fall in house prices would improve affordability somewhat, others said they needed to drop a lot more to make any difference. House prices in Toronto and Vancouver, front runners in the recent house price boom, were forecast to drop 15% and 12%, respectively, in 2023, compared with rises of over 50% and 30% during the pandemic.

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