Canada: Growth in housing prices sees strong rebound in February
March 14, 2016
The Teranet-National Bank National Composite House Price index grew 0.6% in February over the previous month, contrasting the 0.1% decrease observed in January. The increase was the highest in six months, and the best result recorded in February since 2006.
Regarding regional developments, Toronto and Vancouver, which together account for 54.0% of the index, recorded strong increases of 9.0% and 14.5%, respectively. Only four of the 11 cities that comprise the index saw monthly price decrease, the most significant being Calgary and Edmonton which are both hard hit from the collapse in oil field investment. Vancouver’s gains over the previous month were amid housing supply issues. On an annual basis, house prices rose 6.5% in February, which was up from the 5.9% increase recorded in January.
Author: Robert Hill, Economist