Home Prices In September Up 3.6% From A Year Earlier

October 24, 2012

Though monthly changes in the Teranet-National Bank National Composite House Price Index™ tend to be more strongly positive from March through August than in the following six months, this year's September decline of 0.4% was only the third September drop in 13 years of data. The other two were in 2008, as Canada was entering recession, and during the correction of 2010. This year's September prices were down from the month before in six of the 11 metropolitan markets surveyed, led by Victoria (−1.3%) and Vancouver (−1.2%). For Vancouver it was the second 1.2% decline in a row, a result consistent with the city's rating as a buyer's market since August by the Real Estate Board of Greater Vancouver. Moreover, the Canadian Real Estate Association reports 33% fewer sales in this market than a year earlier. In Ottawa-Gatineau prices were down 0.8% on the month, in Montreal 0.6%. In both markets the number of sales was down 17.4% from a year earlier. In Quebec City prices were down 0.2%, with a 12-month decline of 14.4% in number of sales. Edmonton prices were down 0.7% on the month despite a rise in sales from a year earlier and a tight-market rating. Prices were up 0.5% from the month before in Calgary and Halifax, 0.4% in Winnipeg, 0.3% in Hamilton and 0.1% in Toronto.