Oil prices have led existing homes sales in Canada to drop further, with Edmonton among those hit the hardest.
The Canadian Real Estate Association (CREA) report found homebuyer demand in Western Canada is greatly affected by the movements in oil prices. One analyst even noted that seller panic is setting in the region.
"What is interesting to note about the housing measures is that there is a clear sense of panic," said Mazen Issa, senior Canada macro strategist at TD Securities.
Issa added that the weakest housing markets so far in January were Alberta and Saskatchewan. Sales in Calgary were down 24%, 10% in Edmonton, 7% in Regina, and 18% in Saskatoon.
Moreover, CREA said sales activity in the country dipped 3.1% last month from December. This was the third consecutive monthly decline.
It also suggested that Canada’s housing boom appears to be faltering after half a decade of seeing record-high sales.
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