Houses for sale in Ottawa

Active listings were essentially flat compared to July 2022, at just over 31,000 total listings.

“Home sales are up significantly since this time last year,” said Brendon Ogmundson, chief economist at BCREA.

BoC hikes are having a chilling effect

However, Ogmundson warned that the latest central bank hikes will prove to be a significant drag on the market for the rest of the year.

“There are signs that the most recent Bank of Canada rate increases are slowing activity as mortgage rates climb to their highest levels in over a decade,” Ogmundson said.

The BoC assured that it will strive to not raise its policy rate, currently at 5%, more than it needs to. This is despite sustained pressure from excess demand and elevated core inflation.

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