Canadian home prices in October remained flat from the previous month, according to new data from the Teranet-National Bank National Composite House Price Index. Prices retreated in seven of the 11 metropolitan markets surveyed.
According to the index, September home prices had fallen in five Canadian markets and been flat in two. October prices were up from the previous month in Toronto (0.8%), Winnipeg (0.4%), Quebec City (0.3%) and Hamilton (0.1%), but were down in Victoria and Calgary (both at -1.5%), Halifax (-0.9%), Ottawa-Gatineau (-0.4%), Vancouver (-0.3%), Edmonton (-0.2%) and Montreal (-0.1%). It was the fourth decline in a row for Halifax and the second in a row for Calgary, Edmonton and Montreal.
The 12-month gain of the composite index was 7% in October, an acceleration from the 12-month gain of 6.5% in September. However, the acceleration was due entirely to the base effect of a price decline from September to October of last year. The same base effect resulted in an acceleration of 12-month inflation in Toronto (10.4%), Hamilton (4.5%) and Montreal (5.4%).
Toronto's 12-month gain became the largest of the 11 markets, edging out Vancouver's (10%). At the other end of the spectrum, Edmonton saw the 12th consecutive month of deflation, recording a 0.1% decline in October.