Whoo Hoo?!? Well in a year over year rate it’s lower than the 10% rate in February, but holy cow new housing prices continue to go up, that is for sure. Is this a housing bubble ?
Now where is it most expense, see for yourself:
| housing price indexes | |||
|---|---|---|---|
| March 2007 | March 2006 to March 2007 | February 2007 to March 2007 | |
| (1997=100) | % change | ||
| Canada total | 149.3 | 9.3 | 0.3 |
| House only | 159.2 | 9.0 | 0.4 |
| Land only | 130.2 | 10.2 | 0.5 |
| St. John’s | 132.8 | 4.0 | 0.4 |
| Halifax | 131.4 | 1.3 | 0.0 |
| Charlottetown | 117.7 | 2.0 | -0.1 |
| Saint John, Fredericton and Moncton | 113.1 | 0.5 | 0.1 |
| Québec | 146.7 | 3.8 | 0.1 |
| Montréal | 152.6 | 4.9 | 0.1 |
| Ottawa–Gatineau | 161.3 | 2.9 | 0.2 |
| Toronto and Oshawa | 139.4 | 2.7 | 0.1 |
| Hamilton | 147.3 | 5.7 | 0.5 |
| St. Catharines–Niagara | 149.7 | 5.6 | 1.6 |
| Kitchener | 137.2 | 0.6 | -0.8 |
| London | 135.4 | 3.1 | 0.0 |
| Windsor | 104.0 | -1.9 | 0.7 |
| Greater Sudbury and Thunder Bay | 104.2 | 3.1 | 0.2 |
| Winnipeg | 151.6 | 6.8 | 0.6 |
| Regina | 174.1 | 16.1 | 2.4 |
| Saskatoon | 164.6 | 22.7 | 10.5 |
| Calgary | 240.2 | 30.8 | 0.5 |
| Edmonton | 214.1 | 39.8 | 0.0 |
| Vancouver | 117.4 | 6.8 | 1.1 |
| Victoria | 117.9 | 0.1 | 0.4 |
In Ottawa the new housing prices only went up by 2.9% which is cool, and somewhere near the inflation rate (or closer to it), than say in Calgary or Edmonton! Holy cow!
Wonder how “used” house prices are comparing?
Excellent analysis! -c8j
So, If I make some interpretations, Inflation at 3% should increase the index to about 134. Markets with less than this increase have not been good value if purchased in 1997, and values over have not been as good an investment?
Land increased at about the rate of inflation.
Housing in Windsor, Sudbury /Thunder Bay, New Brunswick, Vancouver, PEI, and Victoria appreciated at less than an inflationary rate, Halifax, St. John’s, London, Kitchener and Toronto fared a little better, while the others fared better than would be expected if housing followed simple inflationary pressures.
Out of the 21 areas surveyed, only about a third appear to have risen enough in value to be considered an investment quality purchase!
David