Home sales across Canada fell 10% in February 2025 compared to the same month in 2024, marking the lowest sales level since November 2023. New property listings declined 13% from January levels, returning to figures seen before January’s brief surge. According to The Canadian Real Estate Association (CREA), the drop follows ongoing economic uncertainty and recent tariffs imposed by the United States.
Sales declines were widespread, affecting nearly three-quarters of all local markets, with the Greater Toronto Area and Ontario’s Greater Golden Horseshoe region seeing the most significant reductions. The national MLS Home Price Index (HPI) fell 0.8% month-over-month and 1% year-over-year, while the average sale price dropped 3.3% from February 2024.
By the end of February, there were 146 thousand properties listed for sale, up 13% from the previous year but still below the long-term February average of approximately 174 thousand listings. The national sales-to-new-listings ratio rose slightly to 49.9% from 48.3% in January, indicating balanced housing market conditions. Inventory rose to 4.7 months of supply, up from 4.1 months in January, approaching the five-month long-term average.
Source: Canadian home sales drop 10% in February amid economic uncertainty and U.S. tariffs