New home prices fall for first time in decade

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Led by cooling markets in Alberta and British Columbia, national prices on new homes declined month over month in October for the first time in over a decade, Statistics Canada said Thursday.


" L# d2 W* P) Z  f3 h/ wThe average cost of a home in Canada fell 0.4% between September and October, the federal agency said. It was the first monthly decrease nationally since September, 1998.

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) a5 ]6 D" b/ o. ?* @New home prices in Edmonton and Calgary continued to come off peaking demand last year in October.
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% }7 K4 q3 l) v8 Y( Z3 nPrices have fallen 7.7% year-over-year in Edmonton, marking the city's largest annual decline in more than 23 years. Calgary prices are down 1.6% from a year ago in the biggest retreat since November 1991, StatsCan said.
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Month to month, prices in Edmonton and Calgary fell by 1.7% and 0.6%, respectively.
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: J) m  I% A8 v2 q3 h* A- ~Vancouver, where home prices have risen the fastest in recent years, saw a monthly drop of 1.1% in October as demand cooled rapidly. Year over year, prices were down 0.4%.
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In Victoria, contractors' selling prices decreased 1.1% year-over-year StatsCan said, down from an annual increase of 0.2% in September.

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. u% s( V7 R* O# `/ |0 p, f+ U7 DUpward price pressure remained torrid in some markets as new home prices in Regina grew again in October, rising to 22.8% more expensive than a year ago. In contrast, Saskatoon prices were a modest 3.6% higher than a year ago while prices tumbled 1.6% from September to October as "builders continued report difficult market condition."


; z' V% m/ W. c5 W9 m- a0 P; rCompared with last October, contractors' selling prices in Ottawa were 4.3% higher, while new homes in Toronto were 3% more expensive, StatsCan said.

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