Greater Toronto Area House Prices up 12.8% in June
Wednesday Jul 13th, 2016
HOME PRICES UP 2.3% IN JUNE
In June, the Teranet–National Bank National Composite House Price Index™ was up 2.3% from the previous month, the largest June increase since the Index began in 1999. Prices were up in 10 of the 11 metropolitan markets surveyed. Gains exceeded that of the countrywide index in six markets: Victoria (4.4%), Halifax (3.7%), Toronto (3.3%), Vancouver (2.6%), Ottawa-Gatineau (2.6%) and Hamilton (2.4%). Though less than the countrywide average, gains were also strong in Quebec City (1.7%), Winnipeg (1.3%) and Montreal (1.0%). Prices were clearly riding recent high volumes of existing-home sales in almost every market. Only in Calgary was the gain modest (0.2%), and in Edmonton prices were down from the month before (−0.3%). For Vancouver it was the 18th consecutive month without a decline, with the index setting a record each month. For Toronto it was the 13th rise in 14 months, with new records set in each of the last five months. Victoria prices have set records in each of the last two months, while prices in Winnipeg set a new record in June.
Prices in Vancouver have been rising more than 2% monthly since February, bringing its 12-month rise to 23.4% in June, the highest on records. This run-up reflects very tight conditions on the resale market, to judge by active listings and sales as tallied by the Real Estate Board of Greater Vancouver. Trailing far behind, but also pulling up the 12-month gain of the composite index, were Hamilton (13.8%), Toronto (12.8%) and Victoria (12.5%). The composite index is now up 10.0% from a year earlier, the largest 12-month advance in six years. The 12-month gain was much less than that in Winnipeg (1.7%), Ottawa-Gatineau (1.4%) and Montreal (0.5%). Prices were down from a year earlier in Halifax (−0.7%), Quebec City (−1.4%), Edmonton (−1.9%) and Calgary (−2.4%). The 12-month rise in Hamilton is the largest on record for that city.