Photo: Pat David/Flickr
Canadian home prices inched upwards in November supported by “strong” price growth on the West Coast, Teranet, a Toronto-based real estate data firm, said today.
Last month, home prices were up 0.2 per cent from October and 6.1 per cent from the same time a year ago, according to the Teranet-National Bank National Composite House Price Index.
The modest month-over-month price appreciation was slightly above November’s historical average of 0.1 per cent and marks the 11th month in a row that the national index has climbed.
Teranet’s index looks at properties that have changed hands at least twice to measure price changes. In an effort to improve accuracy, Teranet excludes certain properties from its calculations, such as those that members of the same family have sold to one another or have high turnover rates.
Victoria and Vancouver outpaced the other nine metro areas that Teranet tracked in month-over-month gains with price increases of 1.8 and 1.3 per cent, respectively.
Performance-wise, the next closest markets were Quebec City, which saw prices rise 0.4 per cent, and Hamilton, where prices rose 0.3 per cent.
Of the 11 markets surveyed, six posted month-over-month increases. Among those that did not, declines were sharpest in Halifax. There, prices were down 1.4 per cent in November from October.
November’s gains were the largest year-over-year increase since March 2012. “However, this strength came from just four markets, whose 12-month gains were well above the countrywide average,” Taranet points out.
Vancouver outperformed all other markets with year-over-year price gains of 11.3 per cent. Toronto prices were up 9.7 per cent in November compared to the same time in 2014. Hamilton and Victoria rounded out the top four with year-over-year gains of 9.6 per cent and 8.7 per cent, respectively.
The biggest year-over-year dip in prices occurred in Calgary, where prices were down 2.0 per cent. Prices were down 1.3 per cent in Quebec City, 0.9 per cent in Halifax, and 0.6 per cent in Ottawa-Gatineau and Edmonton.
That brings the total number of markets where prices were down over a 12-month period to five.
“In more than 16 years of existence, the index has never recorded 12-month home-price deflation in more than five of the 11 markets, even in recession,” said Teranet.