Housing Inventory Levels Dwindling

Inventory levels in major Canadian housing markets have been dwindling over the past decade, with active listings in July running below the 10-year average in almost all markets, says the ‘2022 Housing Inventory Report’ from RE/MAX Canada. And inventory levels are dwindling despite softer overall real estate activity. Its survey of eight Canadian centres found inventory levels have fallen short of the 10-year average in seven of those markets in 2022. Double-digit declines are noted in six led by Halifax-Dartmouth, NS (65.5 per cent below the 10-year average). The housing inventory shortage was less-pronounced in the Greater Toronto, ON, Area, where it was down almost seven per cent from the 10-year average. Hamilton-Burlington, ON, was the only market to buck the trend, reporting a nominal 3.2-per-cent increase over the 10-year average. Inventory remains key to the overall health of Canadian housing markets as affordable, accessible housing depends on supply. A recent report from Canada Mortgage and Housing Corp. (CMHC) concluded that the country needs to build 3.5 million new homes by 2030 to tackle the affordability issue, yet Canada is averaging only 200,000 to 300,000 new units per year.