We hope you enjoyed the May long weekend.
It was nice to finally feel some warmer temperatures… even if they only stuck around for a couple of days.
This week, the Canadian Real Estate Association released its latest national housing market statistics for April. Here were some of the key highlights:
- National home sales edged up 0.7% month-over-month
- Actual (not seasonally adjusted) sales activity came in 4% below April 2025
- Newly listed properties jumped 4.1% month-over-month as more spring inventory hit the market
- The MLS® Home Price Index dipped 0.1% month-over-month and was down 4.2% year-over-year
- The national average sale price rose 2.2% year-over-year in April 2026
CREA Chair Garry Bhaura noted that while many buyers are still in “wait and see” mode, the overall direction of the market showed improvement in April. Sales increased, days on market declined, and prices continued to stabilize. Early trends suggest May may continue along the same path.
One statistic that always catches my attention is something called “months of inventory.”
At the end of April, Canada was sitting at 5.2 months of inventory nationally, slightly higher than February and March due to the influx of new spring listings.
So what exactly does that mean?
In real estate, “months of inventory” (also called the absorption rate) measures how long it would take to sell all of the homes currently on the market if no new listings were added.
Here’s how we generally interpret it:
- 0–3 months of inventory = Seller’s market
Lower supply, more competition, and often upward pressure on prices. - 4–6 months of inventory = Balanced market
More negotiating room and generally steadier pricing. - 6+ months of inventory = Buyer’s market
Higher supply, less competition, and downward pressure on prices.
Why does this matter?
Because months of inventory gives us a quick snapshot of:
- How competitive the market is
- How quickly homes are selling
- Whether prices are likely to rise, flatten, or soften
And, of course, real estate is always about location, location, location.
These figures are national, but local markets can behave very differently. Some neighbourhoods and property types are still seeing competition and multiple offers, while others are giving buyers much more room to negotiate.
If you’d like help understanding what’s happening in your specific market or situation, feel free to call or text us anytime. We’d be happy to help.
If you know of anyone who needs to buy or sell, please make sure they call Davelle.
Want to Make This Market Work for You?
As always, if you have questions about the market, or would like an updated home evaluation, we’re here to help.
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