Canadian Housing Market Forecast for 2024

Interest Rates to Continue Shaping Market

Summary:

The Canadian housing market is expected to remain influenced by interest rates in 2024, with the prime rate currently at 7.20% and inflation at 2.9%. The latest trends include:

• New home sales are forecast to decline by 15%.
• Resale prices are projected to decrease by 5%.
• Aggregate house price is expected to fall by 4% in Q4 2024.

These forecasts reflect concerns about the impact of higher interest rates on affordability and demand for housing. However, the market is also expected to be supported by a continued shortage of supply, particularly in urban centers.