Housing market 'correction is behind us': price index
Financial Post
Published: Wednesday, September 30, 2009
Home prices in Canada rose 1.6% in July, the third straight monthly increase after eight consecutive declines, according to the Teranet-National Bank house price index.
Prices rose in all of the six metropolitan areas surveyed, the first time that has happened in 13 months, the report stated.
Moreover, in three of the six areas - Halifax, Ottawa and Montreal - prices rose to levels above their pre-recession peaks.
Nationally, prices were still down from a year earlier, off 5.1% in July, representing the eighth consecutive 12-month decline.
Nevertheless, the recent monthly gains indicate "the market correction is behind us," said National Bank senior economist Marc Pinsonneallt.
"Furthermore, prices have more than recovered the lost ground in three regions out of six. This is a huge difference with the U.S. Case-Shiller index, where all of the 20 cities surveyed have yet to experience home price increase over the last 12 months."
Ottawa home prices gained 2.6%; Toronto, 2.2%; Vancouver, 1.5%; Halifax, 0.8%; Montreal, 0.7%; and Calgary, 0.1%. For Calgary, it was the first month-over-month advance after 12 straight months of declines.
Financial Post
Published: Wednesday, September 30, 2009
Home prices in Canada rose 1.6% in July, the third straight monthly increase after eight consecutive declines, according to the Teranet-National Bank house price index.
Prices rose in all of the six metropolitan areas surveyed, the first time that has happened in 13 months, the report stated.
Moreover, in three of the six areas - Halifax, Ottawa and Montreal - prices rose to levels above their pre-recession peaks.
Nationally, prices were still down from a year earlier, off 5.1% in July, representing the eighth consecutive 12-month decline.
Nevertheless, the recent monthly gains indicate "the market correction is behind us," said National Bank senior economist Marc Pinsonneallt.
"Furthermore, prices have more than recovered the lost ground in three regions out of six. This is a huge difference with the U.S. Case-Shiller index, where all of the 20 cities surveyed have yet to experience home price increase over the last 12 months."
Ottawa home prices gained 2.6%; Toronto, 2.2%; Vancouver, 1.5%; Halifax, 0.8%; Montreal, 0.7%; and Calgary, 0.1%. For Calgary, it was the first month-over-month advance after 12 straight months of declines.
PHOTO: Brian_Beijl
