Canadian Home Sales Remain Steady in August Despite Economic Uncertainty
News related to:Canadian Real Estate Association · 2 min read
OTTAWA, Ontario, Sept. 15, 2026 /CourierPR/ -- Canadian home sales remained largely unchanged in August 2026, according to data from the Canadian Real Estate Association (CREA). The number of home sales recorded over Canadian Multiple Listing Service (MLS) systems decreased by 0.7% month-over-month, marking the fourth consecutive month of stable activity.
Shaun Cathcart, CREA’s Senior Economist, noted that sales activity and price trends were unchanged. However, the broader economic environment has shifted, with the Bank of Canada warning of rising inflation risks and doubts about the durability of recent economic growth. This has led to an increase in fixed mortgage rates due to higher bond yields, and variable rates are also expected to rise.
New listings rebounded by 3.3% month-over-month in August, reversing three consecutive declines earlier in the summer. Garry Bhaura, CREA Chair, explained that the increase in new supply was broad-based across major markets and occurred towards the end of the month, suggesting that sellers were looking to capitalize on the early fall market.
The national sales-to-new listings ratio eased to 49.1% in August, down from 51.1% in July. This ratio, which has been steady for four consecutive months, is slightly below the long-term average of 54.7%. A ratio between 45% and 65% is generally considered indicative of balanced housing market conditions.
The number of properties listed for sale on all Canadian MLS systems at the end of August 2026 was just under 200,000, in line with historical averages for that time of year. The national inventory level was 4.8 months, unchanged for the fourth consecutive month and slightly below the long-term average of five months.
The National Composite MLS Home Price Index (HPI) was unchanged from July to August, marking the longest period of price stability since 2024. The non-seasonally adjusted National Composite MLS HPI was down 3% compared to August 2025, with year-over-year declines shrinking since January. The non-seasonally adjusted national average home price was $668,219 in August 2026, up 0.6% from the same month last year.
The increase in new supply combined with the small decline in sales in August caused the national sales-to-new listings ratio to ease back to 49.1% compared to 51.1% in July. Bhaura noted that for buyers, the usual seasonal burst of new properties to choose from comes with the added challenge of economic uncertainty.
The next CREA statistics package will be published on October 16, 2026. The organization cautions that average price information can be useful in establishing trends over time but does not indicate actual prices in centers comprised of widely divergent neighborhoods or account for price differentials between geographic areas.