In August, the Canadian Real Estate Association reported a decrease in home sales compared to the previous year, citing ongoing economic challenges that may impact housing market growth for the rest of the year. Total home sales for the month reached 37,504, marking a 6.9% decline from August 2025. Adjusted for seasonal variations, activity saw a 0.7% drop from July 2026. According to Shaun Cathcart, CREA’s senior economist, concerns over rising inflation and potential interest rate hikes have contributed to a more fragile economic climate that could potentially slow down sales. The national average selling price for a home in August was $668,219, reflecting a modest 0.6% increase year-over-year. In a positive sign, new listings in August rose by 3.3% compared to the previous month, breaking a three-month streak of declines earlier in the summer.