Canadian home sales dropped sharply in January to their lowest monthly level in three years amid a retreat in listings as new mortgage rules came into place, according to a new report from a national real estate group. The group said many of the biggest sales declines were seen in Ontario's Greater Golden Horseshoe markets, where sales rose late last year following the announcement of the tighter mortgage rules. Vancouver sales were off by 10.5 per cent in January. However, they added that the new mortgage underwriting rules, higher interest rates, and an elevated supply pipeline will put some downward pressure on sales activity and prices. "Ultimately, we expect declining sales and flat prices this year before activity improves somewhat in 2019."

Source: CBC News February 15, 2018 15:21 UTC