Toronto home sales extend decline in March on trade uncertainty

By Fergal Smith

TORONTO, April 3 (Reuters) - Greater Toronto Area home sales fell in March, adding to steep declines the month before, and home prices dropped for a third straight month as trade uncertainty crimped activity, Toronto Regional Real Estate Board (TRREB) data showed on Thursday.

Seasonally adjusted sales were down 2.4% on a month-over-month basis at 4,221 units after falling 28.5% in February, while TRREB's home price index declined 1.4% to C$1,050,200 ($738,225.78).

"Given the current trade uncertainty and the upcoming federal election, many households are likely taking a wait-and-see approach to home buying," Jason Mercer, chief market analyst at TRREB, said in a statement.

U.S. President Donald Trump said on Wednesday that he would impose a 10% baseline tariff on all imports to the United States, deepening a trade war that could upend Canada's economy.

New Canadian Prime Minister Mark Carney has called a snap election for April 28, saying he needed a strong mandate to deal with the threat posed by Trump.

The Greater Toronto Area includes Toronto, Canada's most populous city, and four surrounding regional municipalities.

Seasonally adjusted new listings rebounded 9.6% in March from February to 15,403 units after tumbling 24.3% in February.

On a year-over-year basis, sales fell 23.1% and the price index was down 3.8%, while new listings rose 28.6%.

($1 = 1.4226 Canadian dollars)