Dec 30, 2010
Canada home prices are dropping ever so slightly. According to Teranet’s House Price Index, prices declined 0.4% in October from the previous month. Prices were up 6.0% year over year though.
The average cost of a Canadian home had increased for 16 consecutive months until September when prices started declining.
Though prices were down in September in all six of the metropolitan markets surveyed, two cities showed a monthly rise in October – Halifax, 0.7%, and Vancouver, 0.1%. Vancouver’s marginal gain followed three consecutive monthly declines. Montreal prices were flat from the month before. Prices were down 0.9% in Toronto, 0.3% in Ottawa and 1.0% in Calgary. For Calgary it was a third straight monthly decline.
The report notes however that more recent data from the Canadian Real Estate Association shows sales of existing homes increasing faster than new listings, suggesting a tightening of market conditions toward year end.