Canada Housing Market Trends in July 2022

The Canadian housing market has significantly impacted by the Bank of Canada’s rate rises, which have led to a rapid increase in mortgage rates. Canada’s average house price in June 2022 was $665,848, a 2% decrease from the previous year. The average house price in Canada now faces negative yearly price growth, a remarkable reversal from earlier this year’s astounding advances. At the same time, the average house price in Canada has declined for four consecutive months.

Compared to the high of $816,720 in February 2022, the average selling price in Canada is now 18.5% lower. It indicates that the average house price in Canada has decreased by $150,000, or 18.5%, during the last several months. The average house price in June 2022 is also 6% less than the previous month’s price of $711,316 in May 2022. The MLS Benchmark Price for June 2022 grew 10% year-over-year to $809,700 but is down 3.5% month-over-month. It is the third time in the last two years that Canada’s MLS Benchmark Price has declined month-over-month. The other two times happened in April and May of 2022, just before June of that year.

The remarkable spike and decline in Canadian property values over the last several months may be seen across In June 2022, the average Ontario house price decreased to $881,476. This is a shocking 6% decrease from the average Ontario house price of $940,486 in April 2022. It’s also a 19% decline from January 2022, when Ontario’s home market peaked. Nevertheless, Ontario house prices are 3% higher annually. This month, sales in the Toronto real estate market decreased by 42% compared to the same period last year. In June 2022, the average price of a house sold in the Greater Toronto Area was $1,146,254, an increase of 5% year-over-year. Monthly property prices in the Greater Toronto Area fell by 5%.

In comparison to other Ontario cities, the average house price in Hamilton increased by 10% year-over-year while home prices in Brampton increased by 5% annually. Ottawa’s housing market trailed behind with a 5% year-over-year rise in property prices, while the average sold price in Mississauga grew by 7% over the last year. The property market in London, Ontario has had a 7% price rise over the last year. In terms of year-over-year benchmark house price rises, the Maritimes continue to outperform the rest of the nation, with New Brunswick once again leading the way. For June 2022, the benchmark price of a property in New Brunswick is $299,000, which is a 30% year-over-year gain and a modest monthly increase from the $296,700 benchmark price recorded in May 2022. In June 2022, the benchmark house price in Nova Scotia increased by 27% annually to $417,300. It is close to the Nova Scotia benchmark house price of $417,300 from the previous month. The benchmark price in Halifax-Dartmouth has increased by 28% year-over-year to $544,900.

The other Atlantic Provinces lagged but had significant yearly price increases, with Prince Edward Island’s prices increasing 21% year-over-year to $367,200 and Newfoundland & Labrador’s prices increasing 11% to $281,300. St. John’s saw a slower price rise than the rest of the province, with annual increases of 9% to $316,300. In terms of yearly house price increases, the Prairie Provinces remained behind the rest of the nation. Alberta’s average house price in June 2022 was $449,290, a 4% year-over-year rise. Calgary house prices have increased by 5% annually, while Edmonton home prices have increased by 2% annually. The benchmark price in Saskatchewan increased by 5% year-over-year, reaching $333,400 in June 2022. Meanwhile, the average price of a house in Manitoba rose 8.5% annually to $376,267.

British Columbia is the most costly province in which to purchase property in Canada. In June 2022, the average house price in British Columbia was $947,216, up 4% year-over-year but down 4% month-over-month. It is still greater than the average house price in Ontario, which is $881,475. Powell River’s average house prices have increased by 25% year-over-year, while Vancouver Island’s average home prices have increased by 27% year-over-year. The average house price in Quebec was $506,024 in June 2022, a 12% increase over the previous year. The average price of a house sold in Montreal is also up 9% year-over-year, while Quebec City’s average home price rose by 12% annually. The average Yukon house price is up 3% year-over-year, while the average Northwest Territories home price is up 7.5% year-over-year.

Source: https://wowa.ca/reports/canada-housing-market