Winter Storm Slams Southern Ontario, Sending January Home Sales Down 16.2%: CREA

Home sales across Canada fell sharply in January, dropping 16.2 per cent compared with the same month last year, as a powerful winter storm swept through southern Ontario and disrupted market activity, according to the Canadian Real Estate Association (CREA).

On a seasonally adjusted basis, sales were also down 5.8 per cent from December 2025, reflecting a slowdown at the start of the year. The decline was most pronounced in the Greater Golden Horseshoe and southwestern Ontario, regions that bore the brunt of the severe weather.

CREA’s senior economist, Shaun Cathcart, indicated that the downturn appears to be largely weather-related rather than a sign of weakening buyer demand. With heavy snowfall and hazardous travel conditions limiting property showings and transactions, market activity in key regions was temporarily restrained.

While sales fell, the supply side of the market showed signs of growth. Newly listed properties increased 7.3 per cent month-over-month in January, suggesting sellers continued to enter the market despite the storm’s impact.

By the end of the month, 140,680 properties were listed for sale across Canadian MLS systems. That figure represents a 4.5 per cent increase compared with a year earlier. However, inventory levels remain 11.4 per cent below the long-term average for this time of year, indicating that supply is still tighter than typical historical norms.

Price trends also softened. The national average home price in January stood at $652,941, marking a 2.6 per cent decline from the same period last year.

Despite the monthly setback, analysts suggest the January figures may reflect temporary disruptions rather than a fundamental shift in market demand. The coming months will likely provide a clearer picture of whether activity rebounds as weather conditions stabilize.