Real Estate: Canadian Housing Market Continues Strong Growth
The average Canadian house price is set to rise by another 9.5% nationally. This is one of the findings from a report issued by Royal LePage Real Estate Services.
The report also found that Canada's national average house price is forecast to exceed $300,000 for the very first time. Total home real estate sale transactions are also projected to rise sharply and finish 2007 with 522,306 unit sales.
Phil Soper, president and CEO of Royal LePage Real Estate Services says, "The momentum from the year's extraordinary start spilled into the second quarter, compounding typically busy spring market activity and stimulating solid price appreciations in almost all regions of the country. These conditions will certainly be an impetus characterizing Canada's real estate market through to year's end."
The energy boom in Alberta continued to have an impact on the housing market. Sales are still up, but the runaway prices that have characterized Calgary and Edmonton for the past eighteen months have started to ease.
Central Canada should continue to enjoy balanced market conditions according to the report. More modest increases can be expected as we move into the traditionally slower second half of the year. The combination of healthy regional economies and job markets, population growth and the recognition that real estate is a sound investment, will continue to attract buyers and bolster demand for housing.
Ottawa Ontario has maintained the title of Canada's most stable housing market due to unwavering demand being met by a comparable level of inventory, resulting in moderate average house appreciations.
The highest average price appreciation amongst the housing types surveyed, occurred in detached bungalows, which rose by 15.4 per cent to $338,738. This was followed by standard two-storey properties, which rose to $399,469 (13.2%), and standard condominiums, which increased to $238,784 (15.1%), year-over-year.