Canadian home prices increased 12% in 2015, but only thanks to the strong markets in B.C. and Ontario.
In December 2015, the average home price across the country sat at $454,342, but if the hot Greater Vancouver and Greater Toronto markets are excluded, the price would only have been $336,994. Even more drastic, if B.C. and Ontario markets were excluded, home prices would have actually dropped by 2.2% down to $294,363.
The numbers are the latest from the Canadian Real Estate Association’s December 2015 report, but despite the ongoing price inflation in Vancouver and Toronto, the CREA says the Canadian housing market as a whole is stable.
“December mirrored the main themes of 2015, with strong sales activity and price growth across much of British Columbia and Ontario offsetting declines in activity among oil producing regions,” said Gregory Klump, CREA’s Chief Economist. “The recent decline and uncertain outlook for oil prices means that housing market prospects are unlikely to improve in the near term in regions where job market prospects are tied to oil production.”
Two storey single family homes made the biggest price jump of all housing types, rising 9.15% across the country. One storey homes rose 6.63%, townhouses rose 6.12% and apartments rose on average 4.96%.
The biggest markets, Vancouver and Toronto, rose 18.87% and 10% respectively. The Fraser Valley was not far behind Vancouver with an impressive price jump of 14.35%.