Home sales rose 8.7% in December from November and were up 3.7% year-over-year, the largest year-over-year gain since August.
"While December did offer up a bit of a surprise in sales numbers to cap the year, the real test of the markets' resilience will be in the spring," Larry Cerqua, chair of CREA, said in a statement.
Home sales totaled 443,511 units in 2023, a decline of 11.1% from 2022 and the lowest annual level since 2008.
The Bank of Canada has said it could start lowering rates from a 22-year high of 5% this year if core inflation comes down as predicted.
CREA forecast that sales would rebound 10.4% in 2024 and then climb 7.3% in 2025.
The industry group's Home Price Index fell 0.8% on the month and was up 0.7% annually, while the national average selling price was up 5.1% on the year.
(Reporting by Fergal Smith; Editing by Lisa Shumaker)
