Canada: House prices inch down in November
House prices ticked down 0.3% on a seasonally-adjusted monthly basis in November, according to the Teranet-National Bank National Composite House Price Index (October: -0.4% month-on-month s.a.). November’s print marked a broad-based contraction and comes as buyers are now faced with higher borrowing costs following another rate hike in October and stricter mortgage rules.
In November 8 of the 11 cities included in the composite index posted lower prices from a month earlier. In Toronto, which accounts for over a third of the 11-city composite index, prices dropped 0.1% month-on-month. Meanwhile, prices in Vancouver fell 0.6% compared to the previous month. Montreal posted a 0.1% contraction, ending seven consecutive monthly rises in house prices.
In annual terms, housing prices climbed 3.1% in November, accelerating from the 2.8% increase in October.