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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" k' [2 O& E+ K' ^6 nThe 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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. m& _  X5 B8 d, J$ x5 E+ qNew home prices in Edmonton and Calgary continued to come off peaking demand last year in October.


4 g) f- z2 Y7 S; X, U3 fPrices 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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1 T0 ^, {8 Z3 c; }( MMonth to month, prices in Edmonton and Calgary fell by 1.7% and 0.6%, respectively.


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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9 t( U$ e6 ]4 A  L/ ]5 G5 rIn Victoria, contractors' selling prices decreased 1.1% year-over-year StatsCan said, down from an annual increase of 0.2% in September.


9 E& O0 ^/ w, Z, y$ o# YUpward 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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Compared 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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