Canadian home sales began 2026 on a cooler note, with activity moistened by severe winter season weather throughout parts of the country.According to brand-new data launched Tuesday by the Canadian Property Association (CREA), home sales recorded over Canadian MLS ® Systems fell 5.8%month-over-month in January. Real(not seasonally adjusted)sales were likewise 16.2%lower than in January 2025. CREA states the downturn was mainly
regional. “The monthly decrease in nationwide home sales was driven mostly by less activity in the Greater Golden Horseshoe and Southwestern Ontario, suggesting that the story was most likely more about a historic winter storm than a downshift in demand,”stated Shaun Cathcart, CREA’s Senior Financial expert. Despite the slow start, Cathcart kept in mind that 2026 is still anticipated to be formed by bottled-up need from first-time buyers.While sales cooled, brand-new supply moved in the opposite instructions. Recently noted residential or commercial properties
leapt 7.3%month-over-month, mirroring a similar early-year rise seen in January 2025. The increase was led by markets consisting of Montreal, Quebec City, Calgary, Greater Vancouver, and Victoria, while Central and Southwestern Ontario saw weaker listing activity– additional underscoring the role weather condition played in suppressing market movement.”With an unusual combination of a considerable boost in new listings and a sharp downturn in sales in January, the
national sales-to-new listings ratio dropped to 45%,” checks out CREA’s report. That compares to 51.3 %at the end of 2025 and sits below the long-term average of 54.8%, a range generally connected with balanced market conditions. CREA Inventory levels also edged higher: there were 4.9 months of inventory nationally at the end of January, up from 4.6 months in December, however still simply below the long-term average of five months.On the rates front, the National Composite
MLS ® Home Rate Index decreased 0.9%month-over-month and was down 4.9%year-over-year. Costs remain lower compared to last year in British Columbia, Alberta, and Ontario, balancing out gains elsewhere. The nationwide average home rate was available in at $652,941 in January, down 2.6%from a year earlier.CREA’s next stats plan is arranged for release on March 17, 2026.