Prices for all property types continued the typical summer pattern in August, with prices for both freehold homes and condominiums lower than in July. Compared with last year, there are some definite positive signs:
- Prices were higher than last August for both freehold and condo properties. In fact, for the first time this year, prices for freehold properties in August were higher than last year or the year before. This suggests that the fall surge in prices will be even more robust than usual this year.
- For the fifth straight month, year-over-year sales of all property types were higher, while active listings were lower, and so the inventory of homes for sale has remained about 20% lower than last year. The low inventory has resulted in the return of a strong sellers’ market and frequent bidding wars in many areas.
While the Bank of Canada has so far held steady on interest rates, it seems likely that we will see lower rates by the end of this year. This will probably mean a long and strong fall market.
