2024 Recap: A Year of Recovery and Growth

If 2023 was about resilience, 2024 became the year of recovery for Canada’s housing market. The Bank of Canada delivered five rate cuts, lowering the policy rate from 5.00% to 3.25% and reducing the prime rate to 5.45% with most lenders. These adjustments eased borrowing costs, giving the market a much-needed boost.

Inflation also improved significantly, dropping to 2.0% by November, a stark contrast to its mid-2022 peak of 8.1%. This decline helped ease financial pressures for households and brought greater stability to daily expenses.

These measures, paired with declining interest rates, encouraged renewed market activity. By the end of the year, national home prices were up 0.9% from 2023, signaling a gradual rebound, according to the Canadian Real Estate Association (CREA).

As we look to 2025, experts predict additional rate cuts, with potential reductions of 25–125 basis points. The housing market is poised for continued growth, with CREA forecasting a 6.6% increase in home sales and a 4.4% rise in average prices, reaching approximately $713,375 by year-end.

Planning to make your real estate move in 2025? With favorable market conditions and declining interest rates, now is the perfect time to achieve your property goals. Contact Cripps Realty today to start making your dreams a reality!