A new report shows disparity in home price trajectories across Canada, including some large decreases.
The CENTURY 21 analysis of home prices reveals that some communities have seen some steep decreases in price per square foot in the past year, most notably in British Columbia.
BC’s decreases are led by some significant downturns in Vancouver, many suburbs in Metro Vancouver, and even some markets on Vancouver Island and the Okanagan seeing declines of 10-20% year-over-year in the first 6 months of 2019.
“What strikes me in this survey is how pricing trends varied so broadly across communities and types of property over the last year,” says Brian Rushton, Executive Vice-President of CENTURY 21 Canada. “It is not surprising to see Vancouver prices drop so much, but the drop is actually more significant in some Metro Vancouver suburbs like West Vancouver and secondary B.C. markets such as Vernon and Kelowna.”
It was the first time since the study began 3 years ago that the price of a single-family home on Vancouver’s West Side slipped below $1000 per square foot, at $990psf it represents a 13.74% year-over-year.
Montreal on the rise
There were more moderate declines in Alberta and the Prairies, while Montreal condos jumped 25% ($709psf), Toronto gained 10% ($994psf), and most Atlantic Canada markets posted modest increases. Detached houses in Montreal gained 11.77% to $674psf
“Prices in Montreal and Toronto continue to head up, to the point detached houses in Montreal cost more per square foot than houses in many Metro Vancouver suburbs, and twice as much per square foot as Calgary,” noted Rushton.
Downtown Vancouver condos remain the most expensive properties in the survey at $1,241 per square foot, despite an 8.4% decline from the same period last year.
Calgary prices fell 3.59% from $293 per square foot to $282. Regina prices for a detached house fell 2.88% to $246 per square foot. Winnipeg saw the sharpest decreases in the Prairie Provinces, with decreases of almost 14% to $243 per square foot.
“With so much variation in the market and prices adjusting very differently depending on neighbourhood and property type, now more than ever it is important to have good information when making real estate buying and selling decisions,” Rushton added. “The list of complex local factors we see reflected in this survey is a long one, ranging from new taxes on property speculation and foreign buyers in B.C. through to a changing economy impacting neighbouring Toronto suburbs very differently.”