The Teranet-National Bank House Price Index ticked down 0.1% in February
In February the Teranet–National Bank National Composite House Price Index(tm) retreated 0.1% from the previous month, following December and January rises that had interrupted a downtrend. It was the first February decline since 2013. The index was up in only three of the 11 metropolitan markets surveyed, the fewest since October 2014: Vancouver (+0.4%), Hamilton (+0.2%) and Halifax (+0.8%). The index for Victoria was flat on the month and the other seven component indexes were down: Toronto −0.1%, Montreal −0.3%, Ottawa-Gatineau −0.7%, Edmonton −0.8%, Calgary −0.8%, Winnipeg −1.0%, Quebec City −1.5%.
For Vancouver it was the 12th rise in 14 months, taking its index to a new record. However, this market’s raw (unsmoothed) index* was down 1.3% on the month, a retreat coinciding with a cooling of home sales as reported by the Real Estate Board of Greater Vancouver. The raw index for Toronto declined after three consecutive rises. In previous months observers had noted a certain haste on the part of buyers to beat the entry into effect of tougher conditions for obtaining an uninsured mortgage. The advance of the Hamilton index interrupted a run of five declines. The retreat of the Montreal index was the first in 14 months. This is not a concern, since the Greater Montréal Real Estate Board reported the strongest sales in six years for the first two months of a year.