CREA Downgrades Housing Forecast Amid 'Higher For Longer' Rates

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CREA Downgrades Housing Forecast Amid 'Higher For Longer' Rates
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Zoe Demarco is a Staff Writer at STOREYS and was formerly the Urbanized Editor at Daily Hive. Born and raised in Toronto, she has a passion for the city's ever-changing urban landscape.

Alongside falling sales, new listings have been edging up since hitting a 20-year low in March. As a result, the national sales-to-new-listings ratio has dropped from nearly 70% to just over 50% in five months. The pace of price growth has slowed too; sizeable declines in Ontario led to a national decline in September.

CREA now anticipates 449,614 residential properties will change hands across the country in 2023, a 9.8% decline from 2022 and a 3.15% drop from its The sales forecast for 2024 has likewise been revised downwards. CREA expects 490,257 sales next year, a 9% increase over 2023 levels, but a 5% drop from the July forecast. Despite the dip, the revised forecast puts activity close to the pre-pandemic 10-year average.

Meanwhile, small price gains are expected in Alberta , Quebec , New Brunswick , Nova Scotia , and Newfoundland in 2023.

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