New home listings across Canada jumped 11% in January from December, marking the largest monthly increase since the 1980s outside of pandemic-related swings, the Canadian Real Estate Association reported on Wednesday.

National home sales fell 3.3% month-over-month in January, with the decline mostly occurring in the last week of the month amid rising trade tensions with the United States.

“The standout trends to begin the year were a big jump in new supply at an uncommon time of year, as well as a weakening in sales which only showed up around the last week of January,” said Shaun Cathcart, CREA’s Senior Economist.

Properties listed for sale across Canadian MLS systems reached nearly 136,000 at January’s end, up 12.7% from a year earlier but still below the long-term average for this time of year.

The national sales-to-new listings ratio fell to 49.3%, within CREA’s 45-65% range for balanced market conditions. Inventory stood at 4.2 months nationally at January’s end, below the long-term average of five months.

CREA Chair James Mahey remained cautiously optimistic despite current headwinds. “While uncertainty about the economy and jobs will no doubt keep some prospective buyers on the sidelines, a softer pricing environment alongside lower interest rates will be an opportunity for others,” Mahey said.

The non-seasonally adjusted national average home price was $670,064 in January 2025, up 1.1% from January 2024.

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