Home prices across Canada dipped for the first time in eight months, this October.
According to the Teranet-National Bank Composite House Price Index, which looks at repeat sales of single-family homes, prices fell 0.4 per cent month-over-month.
Of the 11 metropolitan markets surveyed, housing prices were down in 10 cities. Montreal, the largest city in Quebec, was the only city with a gain at just 0.2 per cent.
Despite the widespread decline, National Bank says the market is far from homogenous. For the fifth month in a row, Vancouver showed no gains across all property types while Toronto condo prices continue to grow.
But with colder weather coming in quickly and interest rates set to rise once again, it’s unlikely we’ll see a rise in home prices over the next few months.
“A slowdown in sales is typical at this time of year,” Zoocasa Managing Editor Penelope Graham says. “Expect the trend to continue as the weather chills and the holiday season grows closer.”
But it’s not all bad news, on a year-over-year basis, the home price index actually climbed across Canada 2.8 per cent. The increase was noticeably larger than the year-over-year rise in August and September due to a drastic index fall during those months last year.