National MLS® home sales set records again.
October 3, 2005 - National sales of existing homes through Multiple Listing Service® (MLS®) set a new monthly record in August 2005, according to statistics released by The Canadian Real Estate Association. This was the second time that national sales have shattered all previous monthly records in 2005. Sales activity for the first eight months of 2005 also ran ahead of activity levels recorded during the same period in 2004.
A seasonally adjusted total of 43,444 homes traded hands via MLS® in August 2005. This represents a 3.1 per cent increase from the previous national record for MLS® sales for a single month – which was set in June 2005 – and is up 5.4 per cent compared to the previous month. Sales broke all previous monthly records in New Brunswick, and reached their highest level on record for the month of August in British Columbia, Alberta, Manitoba, Ontario Quebec, Nova Scotia, and Newfoundland and Labrador.
“August 2005 was the best month on record for national sales of existing homes via the Multiple Listing Service®, and sales remain on track to set a new national record in 2005,” said CREA Chief Economist Gregory Klump. “Canada's resale housing market continues to be strong and is showing few signs of slowing down so far.”
Seasonally adjusted new residential listings on MLS® rose by 4.1 per cent to 65,822 units in August compared to the previous month – their highest monthly level since October 1990. New listings shattered all previous monthly records in New Brunswick, and set new records for the month of August on a national basis, and in Ontario and Prince Edward Island. A bigger monthly increase in sales activity than for new listings caused the national market for existing homes to tighten slightly in August.
Seasonally adjusted dollar volume totaled $10.9 billion in August – a 5.8 per cent increase from the previous month and a new monthly record. Dollar volume set new monthly records in British Columbia, Manitoba, Ontario, Quebec, New Brunswick and Nova Scotia, and reached its highest level ever for the month of August in all other provinces.
The national MLS® residential average price rose 11.9 per cent year-over-year to $246,222 in August – its strongest year-over-year increase in 2005. Average residential price reached its highest monthly level on record in British Columbia and Prince Edward Island, and recorded its highest level ever for the month of August on a national basis and in all other provinces.
“According to recent research from Clayton Research Associates commissioned by CREA, resale home purchases so far this year have generated also $8 billion in spin-off spending. With interest rates expected to move only slightly higher next year, housing activity will continue to make an important contribution to our national economy,” added Klump.
© Copyright Canadian Real Estate Association 2005