Canadian New-House Prices Remain Stable
Overview
The new-house price index in Canada remained steady in December, despite a majority of major urban areas experiencing a decline in prices. According to Statistics Canada, 21 out of the 27 metropolitan areas surveyed reported a month-over-month drop in new-house prices. However, the overall index for December remained unchanged compared to November.
12-Month Basis
On a 12-month basis, new-home prices experienced a decline of 0.9%. The data agency also highlighted that Canada Mortgage and Housing Corp. figures indicate a significant increase of nearly 40% in the national supply of completed but unsold single-family homes compared to December 2022 levels.
Coverage and Exclusions
The data from Statistics Canada on new-house prices focuses on single-dwelling, semi-detached, and row houses. Notably, it does not incorporate prices for newly built condominium units.
Contrasting Data with Existing-Home Sales
It is worth noting that the figures on new-home sales differ from the data on existing-home transactions provided by the Canadian Real Estate Association. In December, sales of existing homes in Canada witnessed an 8.7% increase on a seasonally adjusted basis compared to the previous month. This trend aligns with the stronger months experienced in spring and summer of 2023. On a nonadjusted basis, transactions in December were 3.7% higher than the same period the previous year.
All Rights Reserved © 2024
Post a comment