Canadian house price index from Teranet/National Bank
- Prior was +1.4% y/y
- Prices +0.2% m/m vs +0.2% prior
- Index at 228.44 vs 227.96 prior
The y/y price rise accelerated for the fifth consecutive month despite a 4.0% y/y drag from Vancouver.
Over the year 2019, as usual, the composite index grew fastest from May
to August with smaller variations later in the year due to slowing home
resale activity. If purely seasonal factors were taken out, the
resulting seasonally adjusted index would show a fifth straight monthly
rise in December after six straight declines from February through July.
In other words, the underlying trend of the index was a return of
strength in the second half of the year after a shaky first half. The
newfound vigour can be attributed mainly to the indexes for Toronto,
Hamilton and more recently Vancouver, Victoria and Quebec City. The
indexes for Ottawa-Gatineau and Montreal showed sustained strength
throughout the year. The three Prairie markets – Calgary, Edmonton,
Winnipeg – were rather lethargic.