Winnipeg house prices post strong year-over-year price appreciation
Winnipeg average house prices forecast to increase by 1.0 per cent in 2013
WINNIPEG, Jan. 8, 2013 /CNW/ - The Royal LePage House Price Survey and Market
Survey Forecast released today showed strong year-over-year price appreciation
for detached bungalows and standard condominiums in Winnipeg. Standard
two-storey home prices posted healthy year-over-year gains.
Average detached bungalow prices in Winnipeg climbed 9.9 per cent
year-over-year to $304,157, while standard condominium prices grew 8.3 per
cent to $192,062. Standard two-storey homes increased 4.7 per cent
year-over-year to $320,226.
"Prices are up due to strong demand and a supply shortage," said Rick Preston,
broker and owner, Royal LePage Dynamic Real Estate. "Local businesses are more
optimistic than they were a year ago, which has contributed to rising prices."
Royal LePage forecasts that average Winnipeg home prices will rise 1.0 per
cent in 2013. Unit sales for this year are forecast to decrease 1.2 per cent
over 2012 levels.
Nationally, the average price of a home increased year-over-year between 2.0
and 4.0 per cent in the fourth quarter of 2012. In the fourth quarter,
standard two-storey homes rose 4.0 per cent year-over-year to $390,444, while
detached bungalows increased 3.6 per cent to $356,790. National average prices
for standard condominiums increased 2.0 per cent to $239,374.
As home sales volumes slowed in the second half of 2012, the average Canadian
house price, for the most part, held firm. Some consumers delayed their entry
into the market during 2012, faced with economic uncertainty as governments in
both the U.S. and Europe struggled with debt management plans and as homes in
some regions became less affordable. Compared to 2012, fewer homes are
expected to trade hands in the first half of 2013, which should slow the pace
at which home prices are rising.
Phil Soper, president and chief executive, Royal LePage, noted that the
housing market is well into a cyclical correction and that fears of a sharp or
drawn out collapse are unwarranted. Home prices have risen faster than
salaries and wages for three years and the market requires time to adjust. By
the end of 2013, Royal LePage expects the average national home price to be
1.0 per cent higher compared to 2012.
"A helpful comparison is to reflect on the beginning of 2009 when the country
was in the grips of a very grim global recession," said Soper. "It was a bleak
time, with plunging consumer confidence driven by rapidly spreading
unemployment. The meltdown of the American banking and finance sector had sent
their housing market into a downward spiral and our own real estate market saw
home sale transactions fall dramatically. Price appreciation in Canada ground
to a halt, but home values dropped only slightly. With economic fundamentals
such as employment levels improving, we expect this cyclical correction to be
About the Royal LePage House Price Survey
The Royal LePage House Price Survey is the largest, most comprehensive study
of its kind in Canada, with information on seven types of housing in over 250
neighbourhoods from coast to coast. This release references an abbreviated
version of the survey which highlights house price trends for the three most
common types of housing in Canada in 90 communities across the country. A
complete database of past and present surveys is available on the Royal LePage
Web site at www.royallepage.ca. Current figures will be updated following the
complete tabulation of the data for the fourth quarter 2012. A printable
version of the fourth quarter 2012 survey will be available online on February
Housing values in the Royal LePage House Price Survey are Royal LePage
opinions of fair market value in each location, based on local data and market
knowledge provided by Royal LePage residential real estate experts.
About Royal LePage
Serving Canadians since 1913, Royal LePage is the country's leading provider
of services to real estate brokerages, with a network of 14,000 real estate
professionals in over 600 locations nationwide. Royal LePage is the only
Canadian real estate company to have its own charitable foundation, the Royal
LePage Shelter Foundation, dedicated to supporting women's & children's
shelters and educational programs aimed at ending domestic violence. Royal
LePage is a Brookfield Real Estate Services Inc. company, a TSX-listed
corporation trading under the symbol TSX: BRE.
For more information, visit www.royallepage.ca.
Perry Ge Fleishman-Hillard Canada 416-645-3298 firstname.lastname@example.org
Tammy Gilmer Director, Global Communications & Public Relations Royal LePage
Real Estate Services 416-510-5783
SOURCE: Royal LePage Real Estate Services
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-0- Jan/08/2013 11:00 GMT
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