Winnipeg post the highest year-over-year price increase

The New Housing Price Index (NHPI) rose 0.2% in September, following a 0.1% advance in August.

Evolution of the New Housing Price Index

The metropolitan region of Toronto and Oshawa was the top contributor to the increase in September.

Between August and September, Winnipeg (+1.4%) posted the largest monthly price advance, followed by Halifax (+0.7%).

In Winnipeg, price increases were primarily the result of higher material and labour costs as well as higher land values. Builders in Halifax cited higher material and labour costs as the main reason for their price increases.

In September, prices remained unchanged in 8 of the 21 metropolitan regions surveyed.

The most significant monthly price declines were recorded in the aggregated metropolitan regions of Saint John, Fredericton and Moncton as well as in Edmonton (both down 0.3%).

Some builders in Saint John, Fredericton and Moncton cited slower market conditions as the primary reason for their price decreases, while a few builders in Edmonton moved to new development areas with lower priced lots.

Year over year, the NHPI was up 2.3% in September following similar increases in July and August. The main contributor to the advance in September was the metropolitan region of Toronto and Oshawa.

The largest year-over-year price increases were in Winnipeg (+5.5%), as well as in Toronto and Oshawa (+5.4%).