The Week in Economic and Real Estate News The Canadian Real Estate Association published national December sales data last week which showed that activity in December, although down from November’s level, was about 8% higher than in December, 2013.
More than 481,000 resale homes changed hands in Canada in 2014, the highest level in seven years. Average home prices in Canada grew by 3.8% in 2014 and the MLS Home Price Index advanced by 5.4%. Royal LePage published its latest House Price Survey last week which calls for home prices in Canada to gain an average of 2.9% in 2015.
The national realtor suggests that recent weakness in energy prices will be a benefit to markets in central Canada and may cause some western markets to slow and create better opportunities for buyers.
The Calgary Real Estate Board published its annual forecast last week which predicts that sales volumes will fall by 4% this year while average prices in Calgary will stay on the positive side with a projected gain of 1.58%. The last Teranet House Price Index reading of 2014 was released last week. The index slipped by 0.2% in December but the annual gain came in at 4.95%.
The benchmark government of Canada five year bond yield ended the week at 1.09%, down from 1.22% the previous week.