The largest increases were seen in markets experiencing sustained low active listings
Nearly half of Canada’s major census metropolitan areas saw increases in new home prices last month, according to Statistics Canada.
Nationally, new home prices grew by 11.3% annually and 0.4% monthly in September. Prices went up in 13 of the 27 major CMAs surveyed by Statistics Canada, with the largest month-over-month increase seen in Windsor (1.9%), followed closely by Oshawa (1.8%), Victoria (1.7%), and Montreal (1.7%).
“All three of these CMAs have been experiencing sustained low active listings – sales activity was lower in August 2021 than in August 2020,” Statistics Canada said. “However, the strong demand for new homes continued to push prices up.”
Five CMAs saw new home prices drop, the largest number since March last year. This was particularly apparent in Saskatoon, where prices ticked down by 0.9% monthly.
“The Saskatchewan Realtors Association reported a recent shift to more balanced conditions between supply and demand in the province, easing some of the strain on prices,” Statistics Canada said. “The MLS Home Price Index benchmark price for resale homes in Saskatoon decreased 1% from August, down to $326,100.”
On a year over year basis, new home prices were up in all 27 major urban markets surveyed, with the largest gains registered in Kitchener-Cambridge-Waterloo (26.5%), Ottawa (25.3%), and Windsor (22.9%), Statistics Canada said.