- Read: Four Tips for Buying a Home Following Bank of Canada\u2019s Interest Rate Increase<\/span><\/a><\/strong><\/li><\/ul>\n\n\n\n
Prices are Still Expected to Drop Moving into the Summer Market in Certain Regions<\/strong><\/h2>\n\n\n\n
The national average sale price posted a 3.4% year-over-year gain in May sitting at a little over $711,000, rising at a much more manageable rate than this time the previous year. The Canadian Real Estate Association (CREA) is expecting the national average home price to rise by 10.8% on an annual basis to $762,386 in 2022. The largest price gains are expected in the Maritimes, which is no surprise after Moncton was named the best place to buy real estate in Canada in 2022<\/span><\/strong><\/a>. Ontario and Quebec are also expected to see more price gains this year in certain regions. However, some cities have already seen steep declines in home prices versus April, especially in Oakville, Orangeville and Oshawa<\/span><\/strong><\/a>. For those home buyers on price watch, location is key – different trends are emerging when comparing major markets and provinces.\u00a0<\/p>\n\n\n\n
- Read: The Best Places to Buy Real Estate in Canada in 2022\u00a0<\/span><\/a><\/strong><\/li><\/ul>\n\n\n\n
![\"\"](\"https:\/\/www.zoocasa.com\/blog\/wp-content\/uploads\/2022\/06\/May_Infographic_CREA-755x1024.png\")
<\/figure>\n\n\n\nProspective Sellers Should Consider Options as Prices Could be More Modest in 2023\u00a0<\/strong><\/h2>\n\n\n\n
The 2023 forecast is expected to be more modest, with CREA reporting that the national map average home price may rise by only 3.1% on an annual basis, for an average price of $786,282. This means that home sellers that are on the fence should consider speaking to a real estate agent<\/span><\/strong><\/a> about their market and their home\u2019s value now.\u00a0<\/p>\n\n\n\n
Home sales are also expected to decline a further 2.8% to 552,403 units in 2023. Markets including the Lower Mainland, Calgary, Edmonton, the Greater Toronto Area (GTA) and Ottawa saw a decrease in sales. As inventory rises and sales slow, the sales-to-new listings ratio (SNLR)\u00a0 in May was 57.5%. This ratio is used to determine what type of market we are in, with 50% signaling a balanced market. This is its lowest level since April 2019, although still in line with the long-term average of 55.1%\u00a0<\/p>\n\n\n\n
- Read: Shoutout to Home Sellers: This is What to Expect in a Balanced or Buyers\u2019 Market<\/span><\/a><\/strong><\/li><\/ul>\n\n\n\n
Some Ontario Markets are Still Experiencing Price Gains\u00a0<\/strong><\/h2>\n\n\n\n
While many markets in Ontario saw prices dip month-over-month from April, cottage country along with many smaller cities in the province are still experiencing steady price gains despite an increase in inventory. <\/p>\n\n\n\n
Peterborough & the Kawarthas\u00a0<\/span><\/a><\/strong><\/h3>\n\n\n\n
According to the MLS HPI composite benchmark price, Peterborough and the Kawarthas have yet to see a decline in price. The composite benchmark in May 2022 was $793,800, an increase of 0.1%. This is great news for sellers as they can still expect to sell their home with a profit and buyers are now experiencing a more manageable change in prices. <\/p>\n\n\n\n\n
- Read: Shoutout to Home Sellers: This is What to Expect in a Balanced or Buyers\u2019 Market<\/span><\/a><\/strong><\/li><\/ul>\n\n\n\n
- Read: The Best Places to Buy Real Estate in Canada in 2022\u00a0<\/span><\/a><\/strong><\/li><\/ul>\n\n\n\n