Last Updated on October 24, 2023 by Steve Randall
A key measure of changes in Canadian home prices has posted a decline for November.
The Teranet-National Bank National Home Price Index rarely posts a decline in November – it’s done so just 4 times in the 20 years – but it recorded a 0.3% decline from the previous month.
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Most markets declined with Quebec City, Halifax, and Victoria the exceptions.
It was the second consecutive monthly decline with tighter mortgage lending rules and a rise in interest rates among the factors that have cooled demand significantly in some markets.
In Vancouver, November was a fourth month in a row without a rise in home prices, for a cumulative drop of 1.8%; and in Toronto, prices declined over the last three months, for a total loss of 0.4%.
There are also weak markets in Alberta, where prices did not rise for a fifth month in a row in Calgary, and for a third consecutive month in Edmonton, for cumulative declines of 1.4% and 1.3% respectively.
The index for Victoria was flat while Halifax (0.1%) and Quebec City (1.2%) both gained.
The HPI tracks price changes based a percentage rise or fall from a value of 100 set in June 2005.
Annual increases
While down month-over-month, the national HPI was up 3.1% year-over-year; exacerbated by a sharp drop in the previous three months.
Victoria (5.3%), Ottawa-Gatineau (5.3%), Montreal (4.4%), Hamilton (4.4%), Vancouver (3.9%) and Toronto (3.3%) all posted above-national-average increases and there were smaller gains for Winnipeg (2.3%) and Halifax (1.7%).
Indexes were down year-over-year in Quebec City (−0.3%), Edmonton (−0.4%) and Calgary (−2.7%).
Steve Randall has more than three decades of media experience encompassing online, newspapers, magazines, radio, and podcasts. He focuses on insights and news for professionals in finance, real estate, and legal services. Steve writes for multiple Key Media titles in Canada, United States, Australia, and New Zealand.
