According to Statistics Canada, new home prices in Canada declined 0.2 percent month over month in November, recording a negative movement for the third consecutive month. Prices were unchanged in 19 of the 27 census metropolitan areas (CMAs) surveyed, down in 7, and up in the remaining 1.
Sudbury, Saskatoon, Ottawa, and Montréal (all down 0.5 percent) recorded the largest month-over-month decreases in new home prices in November. Builders cited deteriorating market conditions and decreased construction costs as the reasons for the price declines. Since 2011 in Ottawa and since 2003 in Montréal, November represented the largest month-over-month decline.
New home prices also declined in Edmonton (-0.4 percent), Kelowna (-0.3 percent) and Vancouver (-0.2 percent) in November.
Québec (+0.2 percent) was the only CMA to record an increase in new home prices in November, following a 0.4 percent increase in the previous month.
Nationally, new home prices increased 4.1 percent on a year-over-year basis, continuing the deceleration of the previous months.
Calgary (+13.6 percent) recorded the largest year-over-year gain in new home prices, followed by Winnipeg (+9.9 percent) and Québec (+7.3 percent).