Canadian home sales rose 0.5% in July, extending the market's gains to a fourth consecutive month as housing conditions across the country continued to move toward greater balance, according to the Canadian Real Estate Association (CREA) on Tuesday.
On a year-over-year basis, actual home sales were down 5.3% in July, wrote CREA in a note. Newly listed properties declined 1.6% from the previous month,
Home prices were relatively stable over the month, with the Home Price Index (HPI) edging up 0.1% from June. Despite the monthly increase, the HPI remained 3.3% below its level a year earlier.
"The more interesting story over the last few months has been below the surface of the headline national numbers, where markets across the country are generally moving back towards balance," said Shaun Cathcart, CREA's senior economist, in the note.
At the end of July, 205,388 properties were listed for sale, according to CREA. This was just 0.6% higher than a year earlier and 1.5% above the long-term average for this time of year.
Overall, housing supply has remained relatively stable, staying close to average levels for more than a year, it added.