In July, Canadian home prices inched up 1.1 per cent according to the Teranet–National Bank National Composite House Price Index. The month-to-month rise was the first time in the last five months that the increase was above the historical monthly average.
The boost in prices was widespread with 10 of the 11 metros studied by Teranet reporting an increase. The only major city to see the index drop between June and July was Winnipeg, which recorded a 0.1 per cent decrease.
The biggest increase was seen in Victoria, which saw a 3.5 per cent surge. Other cities that saw a monthly increase larger than the national average include Ottawa-Gatineau (two per cent), Toronto (1.8 per cent) and Quebec City and Hamilton (1.6 per cent).
The cities that lagged behind the 1.1 per cent increase, but still saw month-to-month price growth were Edmonton (1 per cent), Halifax (0.7 per cent), Calgary (0.6 per cent), Montreal (0.5 per cent) and Vancouver (0.2 per cent).
The year-over-year growth was more dramatic. The 12-month home price inflation rose 4.9 per cent last month. Calgary led with an 8.2 per cent boost in the price index from 2013. It was followed by Hamilton (7.1 per cent), Toronto (6.6 per cent) and Vancouver (6.1 per cent), which all exceeded the national average.
Still seeing an increase, albeit one that fell below the national rate, Edmonton saw 3.7 per cent growth, while Victoria recorded 2.5 per cent growth and Montreal saw a 1.5 per cent increase.
Though Winnipeg prices were down 0.1 per cent from 2013, they were almost double the prices recorded nine years ago – the biggest gain of any of the 11 markets over that period.
Cities that recorded a drop from last year are all east of Toronto, where oversupply remains and issue: Quebec City and Halifax both saw a decrease of 1.2 per cent while Ottawa-Gatineau recorded a 0.1 per cent drop.
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