Vancouver house prices climb off bottom

The Teranet-National Bank House Price Index for December has been released, which shows that Canadian house prices rose by 0.2% across the 11 major markets, with annual growth improving to 2.0%:

After falling for 14 straight months, Vancouver house prices have bottomed, rising by 0.6% since their trough in September 2019

However, Vancouver’s house prices were still down 6.9% from their July 2018 peak.

Meanwhile, the Real Estate Board of Vancouver also reported falling prices in the 2019 calendar year:

The MLS® HPI composite benchmark price for all residential properties in Metro Vancouver ends the year at $1,001,000. This is a 3.1 per cent decrease compared to December 2018.

However, volumes increased, but remained well below the 10-year average:

The Real Estate Board of Greater Vancouver (REBGV) reports that sales of detached, attached and apartment homes reached 25,351 in 2019, a three per cent increase from the 24,619 sales recorded in 2018, and a 29.6 per cent decrease over the 35,993 residential sales in 2017.

Last year’s sales total was 20.3 per cent below the region’s 10-year sales average.

The nascent rebound in Canadian housing activity be explained by the Canadian Government unleashing a new wave of first home buyer subsidies in a bid to offset the loss of corrupt Chinese money and to support prices.

Leith van Onselen

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