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Canada: Home sales remained flat in November – NBC

Canadian home sales were broadly unchanged in November, with weakness across most provinces offset by gains in the West. Activity remains below historical norms, but easing monetary policy and a stronger labour market are expected to support housing demand in the months ahead, economists from National Bank of Canada report.

Rate cuts seen supporting market ahead

"Home sales remained relatively flat (-0.6%) from October to November at the national level following a marginal 0.9% gain the previous month. On a regional basis, transactions were down in 7 of the 10 provinces in November, namely in Nova Scotia (-13.0%), P.E.I. (-5.6%), Newfoundland (-2.7%), New Brunswick (-2.6%), Quebec (-2.5%), Ontario (-1.5%), and Manitoba (-0.7%). On the other hand, home sales increased in B.C. (+2.6%), Alberta (+2.7%), and Saskatchewan (+3.4%)."

"After picking up steam in the spring, the number of sales in the real estate market has remained essentially stable since July, despite the Bank of Canada's policy rate cuts in the fall. Furthermore, sales remain below their historical average and 7.6% below their most recent peak in November 2024, as trade uncertainty continues to weigh on the market."

"However, we remain optimistic about the residential market in the coming months, as cumulative decreases in the policy rate and improvements in the labour market should help support transaction levels."

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FXStreet Insights Team

The FXStreet Insights Team is a group of journalists that handpicks selected market observations published by renowned experts. The content includes notes by commercial as well as additional insights by internal and external analysts.

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