Canadian Home Prices Flat in September

November 30, 2011

TORONTO, ON – Canadian home prices in September were flat from the previous month, according to the Teranet–National Bank National Composite House Price Index™. The plateau followed nine consecutive monthly increases. Prices were also flat in two of the 11 metropolitan markets surveyed, Ottawa-Gatineau (ending a run of seven straight monthly gains) and Vancouver (ending a run of 11 straight gains – the longest among the 11 markets). In five markets, prices were down from the month before – 1.1% in Halifax (third decline in a row), 0.8% in Calgary (first decline in six months), 0.4% in Quebec City (second decline in a row) and 0.3% in Montreal (first decline in 10 months) and Edmonton (first decline in seven months). In four markets, prices were up from the month before – 0.6% in Winnipeg (eighth monthly increase in a row), 0.5% in Hamilton and Toronto (seventh increase in a row for both) and 0.2% in Victoria.

The report can be accessed at www.housepriceindex.ca

The Teranet–National Bank House Price Index™ is estimated by tracking observed or registered home prices over time using data collected from public land registries. All dwellings that have been sold at least twice are considered in the calculation of the index. This is known as the repeat sales method; a complete description of the method is given at www.housepriceindex.ca.

The Teranet–National Bank House Price Index™ is an independently developed representation of average home price changes in eleven metropolitan areas: Victoria, Vancouver, Calgary, Edmonton, Winnipeg, Hamilton, Toronto, Ottawa-Gatineau, Montréal, Québec City and Halifax. The national composite index is the weighted average of the eleven metropolitan areas. The weights are based on aggregate value of dwellings as retrieved from the 2006 Statistics Canada Census. According to that census, the aggregate value of occupied dwellings in the metropolitan areas covered by the indices was $1.168 trillion, or 53% of the Canadian aggregate value of $2.207 trillion.