Housing Market Slowdown in June Becoming Increasingly Evident
It appears that Canada’s housing market may be beginning to show signs of a slow-down amid the coronavirus pandemic. According to the Teranet and National Bank of Canada’s House Price Index, figures were up by 0.7%, which translates to a seasonally adjusted decline of 0.1% in June – the first drop in 11 months.
The index, which is calculated by tracking registered home prices over time, saw increases across several major cities in Canada. Some of the cities that posted increases include Halifax, Winnipeg, Hamilton, and Montreal, while some cities such as Edmonton and Calgary were subject to dropping house prices. Although some increases were noted, the Teranet–National Bank National Composite House Price Index for June 2020 was subject to the lowest advance in over 17 years.
Analysts also concluded that a slowdown in the housing market is becoming increasingly evident, given that the number of repeated house sales used in the calculation of the index have fallen by 24% compared to the same time a year prior. In addition, June’s raw composite index was up 5.9%, from the previous year, but still accounts for a deceleration of gains over the last 12 months.
Information for this briefing was found via the Teranet and National Bank of Canada . The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.
