More Listings on the Market Slows Canadian Price Increase

The Canadian Real Estate Association (CREA) reported Friday that the price for resale homes rose only 4% in April compared with the same month a year earlier, the slowest rate of increase in six years.

The slowdown in price increases resulted from a sharp increase in listings and a slower growth in sales, the report showed. Two new properties were listed for sale for every home that sold through the Multiple Listing Service (MLS) system across Canada in April.

The number of new listings of homes for sale on the MLS of real estate boards in Canada reached its highest level ever in April 2008 at 77,248 units, the report showed. Meanwhile, the number of homes sold during the month came in at 36,614 units in April

The national MLS residential average price rose 4% year-over-year to $317,619 in April 2008. This is the smallest year-over-year price increase in over six years.

Source: CEP News