Halifax home prices post second-largest monthly drop on record

HALIFAX · Home prices in the Halifax-Dartmouth area posted their second-largest monthly decline on record in September. The price of a typical home sold through the MLS fell 3.9 percent, or $22,100, to $541,700, according to data from the Canadian Real Estate Association. That drop leaves prices 4.1 percent, or $23,400, below where they were a year ago and at their lowest level since December 2024. Prices are now 5.4 percent, or $31,000, below the record high set in May 2026. In dollar terms, the September drop was only beaten by the plunge in May 2022 after interest rate hikes began.

Sales activity rose modestly but remained subdued. A total of 434 homes sold in September, an increase of 4 percent compared to the same month last year. The sales volume is still well below pre-pandemic levels. CREA data shows rising sales aren’t an obvious driver of falling prices, but volumes remain weak and look worse against raised inventory.

New listings reached a six-year high for the month of September. CREA reported 727 new listings, up 1.4 percent from last year. This marked the highest September volume since 2020 and continued a four-year trend of increasing listings. September isn’t traditionally a big month for sellers, but last month was an exception. The growing inventory of homes for sale is putting downward pressure on prices.

The Halifax market had largely resisted the price declines seen in other parts of Canada. That resilience was based on a relatively small pool of buyers. Thin sales volumes leave prices vulnerable when those buyers pull back or when sellers face more competition. With listings rising and prices falling sharply, the market may now be testing where buyers are willing to step in.

With files from Better Dwelling