Canadian real GDP decreased by 0.1 per cent in May, following a 0.1 per cent decrease in April. Service-producing industries remained unchanged, while goods-producing industries edged down by 0.1 per cent. Thirteen out of twenty major industries contracted from the previous month, led by broad-based decreases in retail trade (-1.2 per cent), mining, quarrying, and oil and gas (-1.0 per cent) and public administration (-0.2 per cent). Conversely, both the manufacturing (0.7 per cent) and transportation/warehousing (0.6 per cent) sectors grew following contractions in April. Finally, GDP for real estate offices and agents was up 3.5 per cent month-over-month. Preliminary estimates suggest that real GDP increased by 0.1 per cent in June while remaining unchanged for the second quarter of 2025.

May's GDP data points to continued weakness through the second quarter, as the impact of tariffs continues to filter through the Canadian economy. Following another rate hold yesterday, the Bank of Canada reiterated its concern about propelling core inflation beyond its already elevated level through monetary policy. Therefore, even in the face of ongoing negative growth, the Bank will likely need to see trimmed and median inflation moderate toward its midpoint before cutting the overnight rate. With that being said, attention now shifts towards August's CPI and GDP prints, which will illustrate how the Canadian economy performed in the second quarter relative to the Bank's most recent projections—a comparison that will heavily influence its next policy decision in mid-September.

https://mailchi.mp/bcrea/canadian-economic-growth-may-2025

For more information, please contact: Gino Pezzani.

About BCREA’s Housing Monitor Dashboard

The BCREA Economics team has created the Housing Monitor Dashboard to help REALTORS^® monitor BC’s housing market. This dashboard, which is updated monthly, provides up-to-date data on key variables for public education and use. Focuses include: 

• Resale Home Market

• Construction

• Rental Market

• Borrowing Costs

• Other BCREA Data

In the dashboard, the image and data are available for download under each chart, where possible.

For more information, please contact: Gino Pezzani.

The Bank of Canada held its overnight policy rate at 2.75 per cent this morning.  In the statement accompanying the decision, the Bank noted that US tariffs are disrupting trade overall, but the economy is showing some resilience. That said, GDP likely declined by 1.5% in the second quarter as the tariff driven import behaviour by US firms that spurred Canadian exports in the first quarter reversed in the second quarter. Moreover, uncertainty is restraining business and household spending, and labour market conditions are weakening in sectors affected by trade. On inflation, the Bank sees underlying inflation trending around 2.5% but with risks of upward pressure due to tariffs.

Without the added risk of tariff driven inflation, the Bank of Canada would almost certainly be lowering rates in response to a clearly weakening economy that is showing signs of excess supply. However, core inflation continues to trend out of the Bank of Canada's comfort zone on both a 12-month and 3-month basis and the possibility of escalating tariffs is prompting the Bank to be extra cautious. While we expect the Bank will lower rates at its September meeting, that call is at odds with financial markets that are currently pricing in a 2.75% overnight rate for the remainder of the year.  Those expectations are being reflected in 5-year bond yields, which have been trending solidly over 3% for the last week which unfortunately will put some upward pressure on 5-year fixed mortgage rates.

For more information, please contact: Gino Pezzani.

Before backyard patios and central AC became the norm, life happened on the front porch, which was part living room, part stage, and part neighborhood watch—minus the group text.

During the late 1800s and early 1900s, as American homes shifted from vertical rowhouses to horizontal bungalows, the front porch emerged as a symbol of warmth, hospitality, and social standing.

According to Smithsonian Magazine, porches became a national obsession—“an outdoor room that served as a threshold between public and private life.”

They were cooling centers during summer, gathering spaces during the evening and, according to an 1890 article in Ladies’ Home Journal, “a necessary room in every well-appointed house.”

But everything shifted after WWII. As Smithsonian Magazine noted, air conditioning, television, and the postwar push toward privacy moved Americans inside. Suburbs favored backyards over porches. We swapped waving for fencing.

And yet, something about the front porch stuck. It shows up in our design choices, our Zillow saves, and our quiet desire for stillness after a loud, screen-filled day. Even the rise of Ring cameras and Adirondack chairs is a modern remix of an old idea: watching the world go by from a few feet above the sidewalk.

Here’s a question you might not have considered: Is 100,000-year-old glacier ice better than the ice that’s in your freezer?

Thanks to a startup company called Arctic Ice, you can find out. For $100, you get six hand-carved ice spheres made from ancient Greenland icebergs. The ice is collected from a fjord in western Greenland, shipped to Dubai, and sculpted into perfectly clear spheres.

This ice isn’t just cold, it’s pristine. With fewer air bubbles and impurities, it melts more slowly and adds a touch of rarity to any moment it’s used.

According to customers of The Wall Street Journal, the glacier ice is pure, melts slowly and is visually striking, all of which proves that even ice can be a luxury.

According to the Centers for Disease Control and Prevention, nearly 75 percent of older adults experience balance issues.

Balance is your body’s ability to control its center of gravity over your base of support— usually your feet— whether that’s one foot, two feet, or two feet and a cane. It relies on multiple systems working together, including your vision, depth perception, muscle strength, and ability to see in low light or to notice visual contrast.

The good news is you can improve your balance, along with your confidence and mobility. The Mayo Clinic recommends making balance training a regular part of your fitness routine.

Here are a few simple ways to get started:

• Do one-foot stands: Hold onto the back of a sturdy chair and lift one foot off the ground. Try to hold it for a few seconds. Repeat ten 10 times on each side. As you improve, reduce support by using one hand and eventually one finger.

• Perform high-knee walking: Walk in a straight line, lifting your knees high with each step and extending your arms for balance.

• Try Tai Chi: This gentle, slow-moving exercise is proven to improve stability and reduce the risk of falling.

• Balance during daily tasks: Stand on one foot while brushing your teeth or washing dishes.

If you lived through the mid-20th century, you might remember the bold color pairing of avocado green
and mustard yellow that now screams "vintage." For those who were born during the 21st century, those
hues are making a fresh and stylish comeback.

According to Living Etc., the earthy tones of the 1970s are trending again. Think mustard yellow,
avocado green, burnt orange, chocolate brown, and deep purple. Today’s designers are reimagining these retro shades in modern ways, often by using neutral walls as a backdrop and letting the colors pop through furniture, textiles, and accents.

Even the infamous avocado bathroom of the ‘60s and ‘70s is returning, and this time with a sleek twist. Clean lines and geometric designs have replaced floral patterns. Expect to see bold greens, even on bathtubs, giving a nostalgic nod to the past with a distinctly modern vibe.

Vancouver, BC – July 2025. The British Columbia Real Estate Association (BCREA) reports that 7,162 residential unit sales were recorded in Multiple Listing Service® (MLS® ) Systems in June 2025, up 1.3 per cent from June 2024.

The average MLS® residential price in BC in June 2025 was down 4.2 per cent at $954,065 compared to $995,614 in June 2024. The total sales dollar volume was $6.8 billion, a 3 per cent decrease from the same time the previous year. BC MLS® unit sales were 23 per cent lower than the ten-year June average.

“Many regional housing markets across BC remained resilient through the second quarter, with only the Lower Mainland falling below sales activity from the previous year,” said BCREA Chief Economist Brendon Ogmundson. “Until broader uncertainties are resolved, we expect overall housing activity in the most expensive areas of the province to continue lagging behind other regions that have steadily recovered since the onset of tariff uncertainty.”

Year-to-date, BC residential sales dollar volume is down 11 per cent to $34.2 billion, compared with the same period in 2024. Residential unit sales are down 7.1 per cent year-over-year at 35,847 units, while the average MLS® residential price is also down 4.2 per cent to $954,241.

For more information, please contact: Gino Pezzani.

Canadian housing starts were largely flat from the previous month, totalling 283,734 units in June at a seasonally adjusted annual rate (SAAR). Starts were up 18 per cent from the same month last year. Single-detached housing starts increased by 1 per cent from last month to 56,645 units, while multi-family and other starts were flat at 227,086 units (SAAR).

In British Columbia, starts rose by 72 per cent from last month to 67,029 units (SAAR) in all areas of the province. In areas of the province with 10,000 or more residents, single-detached starts increased by 1 per cent to 3,880 units, while multi-family starts rose by 85 per cent to 60,314 units month-over-month. Starts in the province were 64 per cent above the levels from June 2024. Year-to-date starts are up 130 per cent in Abbotsford and 23 per cent in Victoria, but down 70 per cent in Nanaimo, 33 per cent in Kelowna, and 11 per cent in Vancouver. 

https://mailchi.mp/bcrea/canadian-housing-starts-june-2025

For more information, please contact: Gino Pezzani.