Langstaff Gateway Condos location.House prices in Canada are falling every month. Average Canadian house prices are expected to fall nearly 25 per cent from their February peak by the end of 2023, according to the latest residential property outlook released today by Desjardins, a Quebec-based financial group.Please Visit: Langstaff Gateway Condos location to Get Your VVIP Registration Today!
Desjardins said it expected a sharp correction in the property market, revising its previous forecast that average house prices would fall by 15 per cent over the same period.
Desjardins said the deteriorating outlook was due to weak housing data and more aggressive monetary policy than previously expected.
The Bank of Canada raised its benchmark interest rate by a full percentage point in July, pushing up mortgage-related borrowing rates and is expected to raise rates further this year.
Although the forecast has been revised, prices are expected to remain higher by the end of 2023 than they were before the pandemic.
Regionally, the biggest price adjustments are most likely to take place in New Brunswick, Nova Scotia and Prince Edward Island, where prices soared during the pandemic, the report said.
The report also points out that the upcoming economic slowdown will ease inflationary pressures enough for the Bank of Canada to reverse the pace of interest rate hikes. Desjardins expects the Canadian real estate market to stabilize by the end of next year.
Desjardins said the downgrade was due to weak real estate data.
The Bank of Canada (Bank of Canada) raised its benchmark interest rate by a full percentage point in July, pushing up lending rates related to home mortgages.
The Desjardins report also noted that house prices fell by more than 4 per cent in the three months after February, when the national average reached a record 816720 yuan in February.
Despite adjusting its forecasts, Desjardins expects prices to remain higher than they were before the pandemic by the end of 2023.
Regionally, the largest price adjustments are likely to be in New Brunswick, Nova Scotia and Prince Edward Island, where house prices soared during the pandemic, the report said.