Homes sales off, blame it on the rain.

Remember earlier this year, when realtors said not to worry about signs of a weakening housing market because falling sales were simply a result of bad weather? Well, the weather is pretty nice, and home sales are still falling in Toronto. This month they’re down 14 percent compared to last year, while listing are up 15 percent (more here). Regular readers will know we’re not at all surprised.  Some kind of correction is long overdue (when a crumby little side-by side bungalow on your street lists for $400,000, it doesn’t take a genius to know that something ain’t quite right).  The question is, how long and deep will it be? Maybe we’re about to drop off a cliff. Maybe we’re just gently pulling back. Maybe we’re just holding off on that new home until we’re extra sure that summer is really here.