Fewer new MLS® home listings in August

OTTAWA – September 30th, 2008 – The number of properties listed via the MLS® systems of real estate boards in Canada retreated in August 2008 from record levels in the previous four months, according to statistics released today by The Canadian Real Estate Association (CREA). With new listings down from the recent peak, the resale housing market is stabilizing in most provinces.

"These days, REALTORS® in Canada face a lot of questions about the real estate market, real estate price bubbles, and the value of a home. That’s because we are at the end of an unusually active period in Canadian real estate – 2007 was a record year for many of the things we use to monitor the real estate market, including the average MLS® residential price," said the President of The Canadian Real Estate Association, Calvin Lindberg.

"We must remember that all markets go through cycles, and remember that the national housing market is actually made up of different communities. Real estate markets are local, and every community, and every area, is different in terms of trends and pricing," the CREA President added.

"Slower activity in some of Canada’s pricier housing markets compared to year-ago levels will continue weighing on the national average price," explains CREA Chief Economist Gregory Klump.

"As our analysis shows, the Canadian housing market is stable and home sellers are not under pressure to sell. This is in stark contrast to the U.S. housing market, where there are a large number of distress sales. In Canada, with price gains diminishing and homebuyers taking more time to shop, the number of active MLS® listings may continue to ease so the Canadian housing market would stabilize further."

The detailed statistical analysis for all MLS® activity in Canada is attached as reference. The average price information quoted can be useful in establishing trends over time, but does not indicate actual prices in centres comprised of widely divergent neighborhoods, or account for price differentials between geographic areas.

A brief video broadcast about this housing market information featuring CREA President Calvin Lindberg and CREA Chief Economist Gregory Klump are available on www.crea.ca. You can also subscribe to CREA’s RSS feed for the latest news and information about the existing housing market in Canada, published by CREA.

For more information, please contact:
Gregory Klump, CREA Chief Economist
(613) 237-7111 or (613) 218-7896
Email: gklump@crea.ca