Rising lending rates have had a notable impact on the housing sector, prompting potential buyers to search for more affordable housing options . Simultaneously, some potential sellers have refrained from listing their homes to avoid the consequences of higher rates . The decrease in new listings at lower price points has likely hindered overall sales activity, particularly as lower-priced properties contributed to declines in sales during 2023 . Despite a moderation from record-high levels, strong migration growth and a robust labour market have kept sales well above long-term trends .

While international migration has influenced rental markets, resulting in increased rental gains and heightened demand from investors, interprovincial migration from higher-priced markets in British Columbia and Ontario has helped support sales growth in the higher price ranges of our market, even in the face of higher lending rates .