Bank of Canada’s Rate Cut Could Spur Housing Demand as Toronto Home Sales Fall in May

Real estate market analysts say the Bank of Canada’s much anticipated decision to lower its key interest rate could be the sign that many would-be homebuyers have been waiting for to make their move. The central bank announced the quarter-percentage-point cut on June 5, its first in more than four years, meaning its key interest rate now stands at 4.75 percent. It comes after some of Canada’s largest cities have seen ballooning home listings in recent months from droves of sellers listing their properties, despite demand from potential buyers not keeping up. That includes the Greater Toronto Area, where new listings last month jumped 21.1 percent year-over-year, with 18,612 properties put on the market. Calgary and Vancouver have seen similar trends, with new listings rising 18.7 and 12.6 percent, respectively, year-over-year in May....