Data reveals 0.9% month-over-month decline
by Chaimae Chouiekh
Home prices in Toronto fell for a seventh consecutive month as fallout from US tariffs caused Canada’s economy to slow.
The benchmark price of a home in the country’s largest city slipped 0.9% in June from May, hitting C$978,200 ($720,164), according to seasonally adjusted data released Friday by the Toronto Regional Real Estate Board.
The Canadian economy showed a slight contraction in May, adding to evidence of a slowdown from the start of the year as US tariffs started to bite. While the numbers so far don’t point to the severe downturn many economists feared when the trade war erupted, an agreement that would take the pressure off the housing market remains elusive.
“A firm trade deal with the United States accompanied by an end to cross-border saber-rattling would go a long way to alleviating a weakened economy and improving consumer confidence,” Jason Mercer, the Toronto real estate board’s chief information officer, said in a statement.
Historical data from the Canadian Real Estate Association show that Toronto’s June benchmark price is the lowest since March 2021.
Still, the underlying balance between supply and demand in Toronto suggests the market tightened in June, even if that hasn’t shown up in prices yet. The number of sales rose 8.1% from the previous month, while new listings of homes for sale fell 4.7%, according to the Toronto real estate board.
Copyright Bloomberg News
