According to the Royal LePage House Price Survey1,
during the second quarter of 2019 low interest rates and healthy
employment offset the market drag caused by economic uncertainty that
kept monthly unit sales volumes below the ten-year average2. As a result, home prices appreciated modestly at the national level.
The Royal LePage National House Price Composite, compiled
from proprietary property data in 63 of the nation's largest real
estate markets, showed that the price of a home in Canada increased 1.1
per cent year-over-year to $621,696 in the second quarter of 2019. When
broken out by housing type, the median price of a two-storey home rose
1.0 per cent year-over-year to $727,165, while the median price of a
bungalow dipped 0.4 per cent year-over-year to $516,048. Condominiums
remained the fastest growing housing type on a national basis, with the
median price rising 3.8 per cent year-over-year to $452,451.
"We now have evidence of a sustained market recovery in
some of the nation's largest markets, and signs of a price floor in
other regions hit hard by the eighteen month-old housing correction,"
said Phil Soper, president and CEO, Royal LePage.
Canada's economy continues to grow, albeit at an
unexceptional pace, with a slumping housing market being a major
contributor to the slowdown. Offsetting this, business investment has
picked up considerably, helping to sustain a period of exceptional
employment growth, particularly in British Columbia, Ontario, and
Quebec.
Royal LePage predicts national home prices to see a
modest uptick by the end of 2019, rising 0.4 per cent compared to the
end of 2018. The Greater Toronto Area and Greater Montreal Area are
expected to continue to drive national home price gains with forecast
increases of 1.4 per cent and 4.5 per cent respectively, while Ottawa is
expected to outpace the GTA with a projected price increase of 1.6 per
cent by year-end. Weakness in the Greater Vancouver market is expected
to continue, with the aggregate home price forecast to decrease by 5.5
per cent compared to end of year 2018. Home prices in western cities
like Calgary, Edmonton, and Regina are expected to decrease 3.6 per
cent, 3.0 per cent, and 4.9 per cent, respectively.
To view the chart with aggregated regions and markets visit rlp.ca/houseprices
For more information see rlp.ca/mediaroom
1 Aggregate prices are calculated using a
weighted average of the median values of all housing types collected.
Data is provided by RPS Real Property Solutions.
2 CREA, Canadian home sales rise again in May 2019, June 14, 2019.
|
Canadian real estate market continues recovery in second quarter |
No comments:
Post a Comment