Pre-Mover Count Declines Despite Multiple Drops in Interest Rate
In July, Cleanlist identified 64,836 pre-movers in Canada. We reported a slight increase in pre-movers (14.5%) YoY from July 2023 to July 2024 and a decrease of 10% in pre-movers month-over-month from June 2024 to July 2024.
This decline in our pre-mover count is notable given the recent drops in interest rates. In Canada, there have been two consecutive 0.25% reductions in interest rates over the last two months. Despite these reductions, which typically encourage housing market activity by making mortgages more affordable, the number of pre-movers has declined.
Does the new interest rate have people holding on to their homes?
The drop in pre-mover activity suggests that other factors could be in play, influencing Canadians to stay put in their current homes. Homeowners may be deciding to stay due to economic uncertainty, such as inflation, job market fluctuations, or global economics. It’s also a possibility that the market is too saturated and the pool of potential movers is shrinking due to high activity. Not to mention, just because the rates are reduced, does not mean citizens can afford a new house. Lastly, the “wait-and-see” approach is something a lot of homeowners have adopted over the last couple of years of uncertainty. This approach involves people anticipating that the rates will drop even further and that the market will begin to shift in their favour.
Significant Intent Data from July 2024
- The provinces that saw the biggest increase in pre-movers from July 2023 to July 2024 were Alberta (18.5%), Yukon Territory (13.6%) and Nova Scotia (10.6%).
- The provinces that saw the biggest decrease in pre-movers YoY were Newfoundland (-12.8%), Saskatchewan (-5.6%) and Manitoba (-2.7%).
- Every province saw a decrease in pre-movers from June 2024 to July 2024, except P.E.I. and Yukon Territory, whose counts remained the same.
- The provinces that saw the biggest decrease in pre-movers MoM were Nunavut and Northwest Territories (-30.6%), Quebec (-15.7%) and New Brunswick (-14.4%).
Why Canadian Home Listing Intent Data Matters to You
Cleanlist tracks Canadian intent data on properties listed for sale or rent daily. This list is called “pre-movers,” and it represents households that will be big spenders in the coming months.
Marketers of consumer-oriented products and services stand to benefit most. Families planning a move are at the beginning of a large spending cycle that includes everything related to physically moving, financial services, and home improvements like roofing, landscaping, furniture, internet and telecom services, and other related categories. Engaging with these consumers early and promoting solutions is a smart strategy that many savvy marketers have successfully used.
About The Data
The data presented in this report was summarized by Cleanlist from ResponseCanada™ Consumer, Canada’s largest and most up-to-date privacy-friendly consumer database. To learn more about the database or for licensing information, contact sales@cleanlist.ca.
Cleanlist is Canada’s largest customer data company. We clean, enrich, and validate business and consumer data. We’re also experts in data-driven document composition and Canada’s largest data provider for digital and offline marketing. To learn more, visit us at Cleanlist.ca.
