A slowing real estate market in Canada could cause trouble for Realtors
The Canadian Real Estate Association (CREA) predicts a 2.1% decline in home sales in 2022, after two consecutive years of record sales. -Financial Post
The Canadian housing market is expected to cool down in the spring of 2022, with sales and price growth slowing down.
The average home price in Canada is expected to increase by 3.2% in 2022, compared to an increase of 24.1% in 2021.
The recent surge in housing prices has made it difficult for first-time homebuyers to enter the market.
CREA expects that the mortgage stress test will continue to impact the housing market, limiting some buyers' purchasing power.
Despite the cooling down of the market, there is still a shortage of homes for sale in some parts of the country, which will continue to put upward pressure on prices in those areas.
The COVID-19 pandemic has shifted homebuyers' priorities, with more people seeking larger homes with more outdoor space.
The work-from-home trend has also driven demand for homes in smaller cities and rural areas.
CREA expects that immigration and population growth will continue to be a significant driver of housing demand in the coming years.
“Some realtors are definitely taking a pause or leaving the industry because there’s just not enough cake for everyone.”
See the full story here: https://financialpost.com/real-estate/spring-housing-market-reckoning-realtors-canada
