Aug 11, 2022
By Jane Brown
The formerly red hot housing market in Canada could still cool off a lot more.
Desjardins is forecasting the average home price in Canada will decline by nearly 25-percent by the end of 2023 from the peak reached in February of this year.
In its latest residential real estate outlook published on today, Desjardins says it’s expecting a sharp correction in the housing market, adjusting its previous forecast that predicted a 15-percent drop in the average home price over that same period.
The report’s authors say a worsened outlook stems from both weaker housing data and more aggressive monetary policy from the Bank of Canada than previously anticipated.
The report also notes housing prices have dropped by more than four per cent in each of the three months that followed February.
The average price of a home in the GTA in July was about $1,075,000 down from $1,146,000 in June and about $1,300,000 in February.