Home sales slide as mortgage rates pinch B.C. market
May sales and prices both fell as rising interest rates and a weaker job market cool the residential real estate landscape across the province.
The day's top stories, food & events — every morning at 7. Unsubscribe anytime.
Home sales in B.C. slipped in May as rising mortgage rates and a softening labour market weighed on buyers, marking the latest sign of strain in a market that has struggled to gain momentum this year.
The B.C. Real Estate Association reported just under 6,800 home sales units on the Multiple Listing Service in May, down two per cent from May 2025. Average residential prices fell 1.4 per cent to just under $946,000 from $959,000 a year earlier.
Residential sales dollar volume dropped eight per cent to $25.1 billion compared with May 2025. Unit sales for the year are down nearly seven per cent, reaching just under 27,000 units sold so far.
Association chief economist Brendon Ogmundson warned that the recent rise in mortgage rates "presents an unexpected headwind for the market this year and may further delay a recovery in activity." The combination of higher borrowing costs and employment uncertainty is making homeownership less accessible, particularly in the Lower Mainland where prices remain elevated.