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The prices for new homes are down for the first time in a decade, Statistics Canada said Thursday. Photograph by : Troy Fleece/Canwest News Service
OTTAWA – Led by cooling markets in Alberta and British Columbia, national prices for new homes declined month-over-month in October for the first time in more than a decade, Statistics Canada said Thursday.
The average cost of a new home in Canada fell 0.4 per cent between September and October, the federal agency said. It was the first monthly decrease nationally since September 1998.
Statistics Canada does not include prices in its monthly new-home index. However, the Canadian Real Estate Association provides comparative resale prices across Canada.
In October, the national average resale price was $281,133, according the CREA. The average price in Alberta was $342,199, while in B.C. it was $420,259 in October.
Homes in Edmonton and Calgary continued to come down from peaking demand last year, Statistics Canada said. Prices have fallen 7.7 per cent year-over-year in Edmonton, marking the largest annual decline in more than 23 years. Calgary new-home prices are down 1.6 per cent from a year ago in the biggest retreat in that city since November 1991, Statistics Canada said.
CREA resale figures show Edmonton prices averaged $317,744 and Calgary $411,450 in October.
Vancouver, where home prices had risen the fastest over the past few years, saw a monthly drop of 1.1 per cent in new-home prices in October as demand cooled rapidly. Year over year, prices were down 0.4 per cent. In Victoria, contractors’ selling prices decreased 1.1 per cent year-over-year, the agency said, down from an annual increase of 0.2 per cent in September.
CREA’s Vancouver resale average was $556,682, while Victoria came in at $469,243 in October.
Upward price pressure remained torrid in some markets as new-home prices in Regina grew again in October, rising to 22.8 per cent more expensive than a year ago, Statistics Canada said. In contrast, Saskatoon prices were a modest 3.6 per cent higher than a year ago while prices tumbled 1.6 per cent from September to October as “builders continued report difficult market condition.”
Saskatchewan’s average resale price was $219,325 – with Regina averaging $233,622 and Saskatoon $285,310, according to CREA.
New-home prices in Ottawa were 4.3 per cent higher in October from a year earlier, Statistics Canada said, while new homes in Toronto were three per cent more expensive.
CREA figures show Ontario’s average resale price was $281,661 in October, with Ottawa at $280,870 and Toronto $353,018.
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