National home price index posts another below-average gain

by Steve Randall on 20 Sep 2019

A leading measure of Canadian home prices posted a gain in August but reflected the weakness in some key markets.

The Teranet-National Bank National Composite House Price Index was up 0.4% compared to the previous month, continuing the trend of gains below the 21-year average for each month in the last three (which is 0.7% for August).

However, had the index been seasonally adjusted, it would have seen a slight increase, reversing a trend seen in the previous three months and suggesting an end to an underlying downtrend after correction.

The overall index reading of 227.51 means a 0.6% gain year-over-year, which is small but significant as the first acceleration in 9 months.

Vancouver posted a 13th month without an increase in its HPI with a 0.8% drop in August. Edmonton (−0.1%) and Quebec City (−0.4%) also posted declines, the latter reversing after three monthly gains.

On a positive note, home sales in August were up 55% from March in Vancouver, where market conditions went from “favorable to buyers” to “balanced” (right chart). Over that period, home sales rose 19% in Calgary and 12% in Edmonton. These improvements, if sustained, will sooner or later help limit home-price deflation in this region.

There were HPI gains for Victoria 0.2%, Calgary 0.6%, Hamilton 0.7%, Winnipeg 0.7%, Toronto 0.8%, Montreal 1.1%, Ottawa-Gatineau 1.7% and Halifax 1.8%.

Post a Comment

Most Trending News

Second jobs for real estate agents
News

If you're experiencing a slow period in the market and not earning the commission you require, here are some second jobs to consider as a real estate professional.

Read More
Think and Grow Rich: The Legacy Brings Classic Wealth Book to the Big Screen
News

On January 14, 2022, Think and Grow Rich: The Legacy will be hosting a showing of the film via live stream and will be hosted by executive producer John C. Shin. Get your tickets today!

Read More
How many real estate agents are there in Ontario?
News

There are agents are spread across all provinces and territories and are collected into 79 different regional real estate boards. Just in Ontario alone, there is approximately 82,000 agents.

Read More