October Home Sales Set Record

National home sales have set a new annual record in 2021, with a month-over-month rise of 8.6 per cent in October. This is the largest month-over-month increase since July 2020, says the Canadian Real Estate Association (CREA). Sales were up in about three-quarters of all local markets, and in all major cities. Actual (not seasonally adjusted) monthly activity was down 11.5 per cent on a year-over-year basis for October, but it was still the second-highest ever October sales figure by a sizeable margin. Roughly 581,275 residential properties traded hands via Canadian MLS Systems from January to October 2021, surpassing the annual record of 552,423 sales for all of 2020. The number of newly listed homes rose by 3.2 per cent in October compared to September, driven by gains in about 70 per cent of local markets. With so many markets starved for supply, it's not surprising to see sales go up in months when more properties go up for sale, says CREA. Yet, with sales up by more than new listings in October, the sales-to-new listings ratio tightened again to 79.5 per cent compared to 75.5 per cent in September and 73.5 per cent in August. The long-term average for the national sales-to-new listings ratio is 54.8 per cent.