Real Estate

Home-Price Skid Hits Four Months Amid Steep Bank of Canada Rate Hikes

  • Benchmark prices drop 1.7% in July, with sales down 5.3%
  • Weakness begins to spread beyond Toronto and surrounding area

Homes and housing construction in Colwood, British Columbia.

Photographer: James MacDonald/Bloomberg
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Canada’s real-estate correction deepened, with prices falling for a fourth straight month as the central bank ratchets up interest rates.

Benchmark home prices declined 1.7% in July, to C$789,600 ($610,950) according to data released Monday from the Canadian Real Estate Association. That brings the cumulative drop from February’s peak to nearly 6%.