THUNDER BAY – BUSINESS UPDATE — Canada’s housing market continued its gradual rebound in August 2025, recording its best August performance since 2021, according to the Canadian Real Estate Association (CREA). National home sales rose by 1.1% month-over-month, marking the fifth consecutive monthly increase and a cumulative 12.5% gain since March.
Unlike previous months, where growth was largely driven by the Greater Toronto Area (GTA), August saw GTA sales dip slightly. However, this was more than offset by stronger activity in Montreal, Greater Vancouver, and Ottawa.
August Highlights at a Glance:
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National home sales: +1.1% month-over-month
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Year-over-year activity: +1.9% from August 2024
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New listings: +2.6% month-over-month
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Home Price Index (HPI): -0.1% month-over-month, -3.4% year-over-year
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Average home price: $664,078 nationally, up 1.8% year-over-year
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Sales-to-new listings ratio: 51.2%, signaling a balanced market
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Months of inventory: 4.4 (lowest since January, long-term average is 5 months)
Could a Fall Surge Be Coming?
CREA’s Senior Economist Shaun Cathcart noted that while the summer showed steady momentum, the fall market may accelerate, particularly if the Bank of Canada cuts interest rates in September.
“If last year is any kind of guide, then there is the potential that sales could really pick up in the next month or so, depending on how many buyers are drawn off the sidelines,” said Cathcart.
The seasonal influx of new listings in early September may help provide buyers with more options, potentially increasing activity heading into October.
Buyers and Sellers Urged to Act Now
CREA Chair Valérie Paquin emphasized that while August showed slower momentum compared to July, this was typical for the time of year.
“Now that we are on the other side of Labour Day, new listings are flooding onto the market,” said Paquin. “If you’re looking to sell a property this fall, or are hoping to purchase one, reach out to a REALTOR® in your area today.”
Local Relevance for Northwestern Ontario
While the national numbers suggest a steady recovery, housing markets in Thunder Bay and Northwestern Ontarioare likely to reflect unique regional trends—including affordability advantages compared to major urban centres.
With balanced market conditions nationally, buyers in the Northwest could benefit from increased choice, while sellers may see improved demand after a slower first half of the year. The continuation of modest price growth and inventory levels closer to the long-term average suggest a stable market environment heading into the fall.
Next CREA Report
The next monthly housing statistics update from CREA will be released on October 15, 2025.
