Third-quarter MLS residential listings down 3.3 per cent from peak in Q2
OTTAWA — New listings of homes for sale on the Multiple Listing Service in major Canadian markets edged lower in the third quarter of 2008, due primarily to easing in Edmonton and Calgary, the Canadian Real Estate Association said Wednesday.
Seasonally adjusted new listings declined by 3.3 per cent from their peak in the second quarter of 2008, causing the balance of sales to new listings in the resale home market to tighten on a quarter-over-quarter basis for the first time since the beginning of 2007.
But compared to the third quarter of 2007, new listings increased by 6.5 per cent.
There were 146,637 new residential listings on a seasonally adjusted basis in the third quarter of 2008, compared to 151,573 in the second quarter. New listings in Edmonton and Calgary eased the most, followed by declines in Vancouver and Montreal.
“Informed buyers and informed sellers look at the facts. And the facts right now indicate the real estate resale market is stabilizing in many markets,” CREA president Calvin Lindberg said in a statement.
Seasonally adjusted MLS residential home sales in Canada’s major markets declined by 1.5 per cent quarter-over-quarter to 76,391 units, due primarily to fewer sales in Vancouver. Year-over-year, home sales plunged by 10.7 per cent.
Lower sales activity in higher-priced markets pulled the overall average price for MLS residential listings in major markets down by 6.2 per cent year-over-year in September, despite average price gains in 17 of 25 major markets.
“Price declines in some of Canada’s more expensive housing markets will outweigh further price gains in other markets and continue pulling the national average price lower over the rest of the year and into 2009,” CREA chief economist Gregory Klump said in a statement. But “Canadian homebuyers should not expect to see the kind of price correction that’s underway in the U.S., where overly indebted homeowners are selling into a housing market where foreclosures