Home prices rise in August: StatsCan
Canadian new home prices rose unexpectedly in August after a decline the prior month.
The 0.1 per cent increase reversed its identical loss in July, and was led by a 0.9 per cent rise for Hamilton, Ont., according to Statistics Canada. Economists had predicted the index would decline by another 0.1 per cent, based on a Bloomberg survey of nine responses.
Home sales were helped by low borrowing costs. Canada’s average five-year fixed mortgage rate sat at 5.39 per cent the week of October 4, close to the 5.25 per cent set in April 2009 as the lowest in half a century.
New home prices had increased 2.9 per cent in August 2009.