Residential property prices in Calgary fell by 0.2 per cent in the fourth quarter of 2019, mostly because of an oversupply in the housing market over the previous year and high unemployment rates, says Statistics Canada.
In a report released Wednesday, the federal agency said prices were also down 1.7 per cent year-over-year.
“New condominium apartment prices were down 3.0 per cent in the fourth quarter, continuing the downward trend observed throughout 2019. Prices for new condominium apartments fell 6.3 per cent in 2019. Resale condominium apartment prices in Calgary declined by 0.8 per cent in the fourth quarter, following a 2.0 per cent increase in the third quarter,” said Statistics Canada.
The federal agency said prices for residential properties across six major census metropolitan areas in Canada rose by 0.6 per cent from the third quarter to the fourth quarter of 2019. Higher prices for resale properties (+0.9 per cent) were partially offset by lower prices for new properties (-0.2 per cent). Prices for condominium apartments and houses (both up 0.5 per cent) rose at the same pace in the six census metropolitan areas. Overall, prices for residential properties increased by 1.6 per cent in 2019, up from the 1.1 per cent increase in 2018.
“Residential property prices in Toronto rose by 0.4 per cent from the third to the fourth quarter, led by the condominium apartment (+1.5 per cent) and house (+0.7 per cent) resale markets. Overall, resale property prices rose by 4.6 per cent in 2019. Conversely, prices for new condominium apartments declined for the second consecutive quarter, falling 1.5 per cent in the fourth quarter and down 3.1 per cent overall in 2019,” said Statistics Canada.
“Among the six CMAs surveyed, Ottawa (+2.3 per cent) reported the largest increase in residential property prices in the fourth quarter, led by the new (+3.6 per cent) and resale (+3.3 per cent) condominium apartment markets. In 2019, prices in all four sectors of the Ottawa housing market rose at the fastest pace among the six CMAs surveyed, largely because of higher demand for housing over the last year. Overall, residential prices in Ottawa rose by 9.6 per cent in 2019, led by higher prices for new (+16.4 per cent) and resale (+10.6 per cent) condominium apartments.
“Following five consecutive quarterly declines, residential property prices in Vancouver increased by 0.2 per cent in the fourth quarter, driven by higher prices for resale condominium apartments (+1.1 per cent) and resale houses (+0.6 per cent). Conversely, prices for new condominium apartments (-0.8 per cent) and new houses (-0.9 per cent) continued to decline. Despite the uptick in the fourth quarter, residential property prices in Vancouver were down by 2.1 per cent overall in 2019 in the wake of legislation implemented to cool the real estate market.”
Mario Toneguzzi is a business reporter in Calgary.
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