In May, home prices in Canada rose 0.9 per cent from April, an increase that fell below the 1.1 per cent average increase for the month in the last 14 years. The Teranet–National Bank National Composite House Price Index was dragged down by Calgary’s 3.3 per cent fall in house prices last month. Not only did the city pull the national index down by 0.3 percentage points, it was also the largest monthly decline recorded in Calgary by the index.
The situation in Calgary is a stark contrast to the 10 other Canadian cities monitored by Teranet, which all measured monthly growth in May. The composite index reached at an all-time high last month, despite seeing comparatively small historical growth. Four of the markets reached new highs in May as well: Toronto saw a monthly increase of 1.5 per cent, Vancouver increased by 0.9 per cent, Hamilton experienced a 0.5 per cent boost, and Quebec City recorded a 0.6 per cent increase.
Year-over-year, house prices followed a similar pattern. The 12-month composite index was up 4.6 per cent in May, with Calgary’s 1.4 per cent decline the largest drop experienced among the cities. The last time Calgary saw house prices fall year-over-year was July 2011. The only other city to measure a year-over-year decrease was Ottawa, which saw the house price index edge down 0.9 per cent from May 2014.
A number of cities exceeded the nation-wide increase. Toronto lead the country with a 7.6 per cent surge, followed by a 6.2 per cent jump seen in both Vancouver and Hamilton. Edmonton and Victoria were the only other cities to exceed the national average with growth of 4.8 per cent each.
For more details, check out the table from Teranet below: