Tuesday, July 15, 2008

Real Estate In Canada Is Continuing Its Cooling Trend

Canadian Real Estate is not in the same state as prices to the south of the border, but concern is mounting. Prices are still increasing in Canada, but softer markets in Alberta and British Columbia are blamed for the slowdown in increases.

New house prices rose in May at their slowest pace in almost six years, a further sign that Canada's real estate market is cooling, particularly in Alberta and British Columbia.

Prices rose 4.1 per cent in May from a year earlier, down from 5.2 per cent in April and the weakest since the 4 per cent registered in July, 2002, Statistics Canada said Friday.

On a monthly basis, prices remained unchanged between April and May.

Statscan said the May showing continued “a deceleration that started in September, 2006, due mainly to the softening market in Alberta and British Columbia.”

Saskatchewan continued to see the biggest increases. In Regina, for example, home prices rose 30.4 per cent, and in Saskatoon 30.2 per cent. Still, Statscan noted, Regina's showing slipped from 34 per cent in April and Saskatoon's from February's record 58.3 per cent.

In Alberta and British Columbia, the impact was noticeable.


Toronto realtor said...

Just as you say that the prices are rising but at a very slow pace. It can be noticed also here in Toronto and the whole GTA. I as a Toronto realtor have also witnessed that the negotiating power of buyers has increased a lot when dealing with real estate agents due to more properties on sale. I wonder how long will this trend continue... Cheers, Julie.

Toronto real estate agent said...

Great blog! To compare the Canadian real estate and the American one is very interesting as well as comparing the real estate of each of Canadian provinces. However, a deceleration and the softening market is pretty much spoken, I as a Toronto real estate agent, think that in general, although the amount of pieces sold may be decreasing, amount of money may not be at all. We will see soon :)

Property in Brazil said...

I think the sellers are getting a tough time to make their sales out there in the market. The slow rise in prices is surely hurting them but they are going to get good time in the coming days.