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.
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8 K5 E. X+ g* f8 [% y" b) ~# w. ~The 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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' j. y8 y0 {8 b* U3 ZNew home prices in Edmonton and Calgary continued to come off peaking demand last year in October.

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- d1 j6 e% w/ u/ N& h4 ?Prices 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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4 t/ n' g; `; h* D# J/ X0 ^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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: J7 R, l. ^; n- hIn 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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Upward 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."
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( S3 S. d) R1 L5 H0 ECompared 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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