Canada’s average house price jumped 11.4 per cent in August to a record $1.26 million.
The jump was fueled by higher-priced options and a jump in prices of older houses, according to data released Thursday by the Canada Mortgage and Housing Corporation.
The median home price jumped 14.7 per cent to $1,099,972.
“This is not surprising given the rising housing prices,” said Mike Laughlin, chief economist at the Canadian Real Estate Association.
“There are lots of new buyers coming into the market and lots of interest in homes with lots of features.”
The median house price in Calgary, which has the highest housing prices in Canada, jumped 6.9 per cent, while Vancouver’s rose 5.6 per cent.
But Calgary’s price rise has been accompanied by a dramatic fall in sales.
“It’s been a really difficult month for the market,” said Mark Zandi, chief executive of Zandi Associates, a real estate research firm.
“The price of homes is at an all-time low.
The market’s slowdown is part of a broader decline in demand for new homes. “
And the buyers are also trying to find ways to save money.”
The market’s slowdown is part of a broader decline in demand for new homes.
Canada’s population has fallen by almost 10 million people since the end of the Second World War.
There are fewer than 12 million people in the country, according the census.
Prices in many major cities, including Vancouver, have also been on the decline.
The city’s median house is now just under $1 million, down from $1 billion in 2017.
The average price of a detached home in Calgary dropped 13 per cent last year to $2.4 million, according Zandi.
In Vancouver, it fell 8.6 percent to $4.1 million.