Canadian existing home sales fell for a second month in November, adding to evidence the market has begun to cool after surging earlier this year.
Sales fell 0.1 percent in November from the previous month, the Canadian Real Estate Association said today in a statement. The number of homes sold fell 3.2 percent in October, which was the biggest drop in a year.
The two-month decline followed seven months of gains as buyers shrugged off efforts by policy makers to rein in mortgage borrowing. Last month, the Ottawa-based real estate agency said concerns that interest rates would rise was easing, leading to the drop in sales.
“On balance, current trends provide more evidence that the Canadian housing market remains well behaved while interest rates remain low,” Gregory Klump, the association’s chief executive, said in the statement.
The average price for homes rose 0.8 percent in November from a month earlier, after falling 1.1 percent in October, the agency said.
Sales of existing homes will rise 3.7 percent to 475,000 units in 2014, from 458,200 this year, the association predicted in a separate statement. Average prices will rise 2.5 percent to C$391,100 ($369,500) next year, from C$382,200 in 2013, the realtor group said.
To contact the reporter on this story: Theophilos Argitis in Ottawa at email@example.com
To contact the editor responsible for this story: David Scanlan at firstname.lastname@example.org