HOME PRICES UP 0.2% IN JANUARY
In January the Teranet–National Bank National Composite House Price Index™ was up 0.2% from the previous month, almost cancelling the December decline. The January rise interrupted a series of two consecutive monthly declines. However, January prices were up in only five of the 11 metropolitan markets surveyed: 1.2% in Vancouver, 0.9% in Victoria, 0.6% in Toronto, 0.5% in Halifax and 0.3% in Edmonton. Prices were down 1.6% in Montreal, 1.1% in Ottawa-Gatineau, 1.0% in Winnipeg, 0.7% in Calgary, 0.3% in Hamilton and in Quebec City. The Halifax rise interrupted a run of three consecutive declines totalling 4.2%. For Montreal it was the fifth monthly decrease in six months, for a net cumulative decline of 4.7%. For Quebec City it was a third straight monthly decrease, for a total decline of 2.7%. For Ottawa-Gatineau it was the fourth decrease in six months, for a net cumulative decline of 3.2%. In these four markets east of Toronto, recent price behaviour is consistent with buyer’s-market conditions. For Winnipeg it was a seventh decrease in nine months, but the cumulative decline over the period was only 0.6%. It should be kept in mind that since June 2005, Winnipeg prices have risen the most of any of the 11 markets surveyed. For Calgary it was a third consecutive monthly decrease, for a cumulative decline of 1.9%.
In January the composite index was up 4.7% from a year earlier, a third consecutive deceleration. There were 12-month gains well above the countrywide average in Toronto (7.4%), Hamilton (7.2%), Calgary (7.1%) and Edmonton (6.1%), gains close to the average in Vancouver (5.1%) and Victoria (4.4%), and negligible gains in Winnipeg (0.4%) and Ottawa-Gatineau (0.1%). Prices were down from a year earlier in Quebec City (−1.6%), Montreal (−1.5%) and Halifax (−0.3%).
For the full report including historical data, please visit: www.housepriceindex.ca
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.