Sixty per cent of Canadian housing markets anticipated to be balanced in 2023

RE/MAX Canada expects average residential prices to decrease by 3.3 per cent in 2023

• The biggest price declines across the country are expected in Ontario and Western Canada, where some markets may see average residential sale prices decrease by 10 to 15 per cent
• Price growth outlooks are anticipated in Atlantic Canada markets, with average residential sale prices expected to increase by eight per cent in Halifax and four per cent in St. John’s in 2023
• 60 per cent of regions in Canada are expected to be balanced markets in 2023, according to RE/MAX brokers and agents
• 73 per cent of Canadians still say that home ownership is the best long-term investment they can make.

Regional Canadian Housing Market Insights

RE/MAX brokers and agents in Canada were asked to provide an analysis of their local market in 2022 and share their estimated outlook for 2023. Based on their insights, 60 per cent of housing markets in Canada are expected to be balanced markets in 2023, impacted by modest price declines and less activity.

With the exception of Halifax, NS, Ottawa, ON and the region of Montreal, QC, balanced market conditions are expected in Canada’s major city centres, including the Greater Toronto Area (GTA), ON, Mississauga, ON, Greater Vancouver Area (GVA), BC, Calgary, AB, Regina, SK and Winnipeg, MB, in what is being called a healthy development. Move-up and move-over buyers are driving activity in these regions with the exception of Ottawa, ON and Calgary, AB, where first-time buyers are expected to lead. Following a two-year frenzy fuelled by the pandemic, average residential sale prices are anticipated to decrease in Canada’s priciest markets – the GVA and GTA.

Halifax, NS

Halifax is currently a seller’s market and it is anticipated to remain one in 2023. Move-up and move-over buyers are driving demand in the region and are expected to continue to do so next year. The city saw an 19 per cent increase in year-over-year residential sale prices from $457,741 in 2021 (January-December) to $542,663 in 2022 (January-October). Single-detached homes remain the most in-demand housing type among buyers. Interest rates rising and inter-provincial migration reducing post-pandemic, contributed to the number of sales in the region decreasing by 25 per cent year-over-year, from 6,588 in 2021 (January-December) to 4,912 in 2022 (January-October).

Supply is anticipated to remain tight in 2023 for Halifax, as buyer demand remains high and the city prepares to welcome a wave of new Canadians. Renting rooms and sharing expenses are ways first-time homebuyers are entering the market in Halifax. The luxury market has experienced additional activity and a recent rise in prices, but overall, this segment is expected to cool in 2023.

The average residential sale price in Halifax is anticipated to increase by eight per cent in 2023.

Read the full report here - Interactive Report