Real Estate
Housing Prices Grind Lower in Canada, Aiding Fight Against Inflation
- Benchmark prices drop 1.6% in August and are 7.4% below peak
- Declines won’t change central bank’s approach, BMO says
A home under construction in Edmonton, Alberta. The number of sales in Canada is down 25% from from a year earlier.
Photographer: Jason Franson/BloombergThis article is for subscribers only.
Canadian home prices marched lower for the sixth straight month, showing the central bank’s rate increases are having the intended effect of cooling the nation’s overheated housing market.
Benchmark home prices fell 1.6% in August compared with July, to C$777,200 ($589,800), according to data released Thursday by the Canadian Real Estate Association. That brings the cumulative drop from February’s peak to 7.4%.