There is a lot of imbalance in home prices in the various regions in Canada particularly in the condo market but Vancouver continues to take the lead in prices than every other market.
The average price for condominiums in the city is way above other leading real estate markets despite the tax which was introduced last year. The Goodman Report’s 2016 Greater Vancouver Rental Apartment Review shows that there was a 40% year-over-year increase in the overall sales of apartments in Vancouver in the first half of the year prior to the introduction of the tax.
Following the introduction of the tax, home sales in the city declined significantly but the worth of individual homes increased by 52% from 2015 to 2016.
On the rear, sale activity in the Prairie Provinces experienced a decline while in Calgary; there was an 11.5% drop in prices for condominiums to $269,900 with sales also dropping by 30% since 2014.
This declining trend is forcing developers to changes from construction condos to concentrating more of rental units.
Edmonton however, managed to surprise everyone with a 8.7% increase in condominium prices which is pleasing to the Realtors Association of Edmonton Chair James Mabey.
According to Mabey, the increase resuscitated boldness in him in the real estate market and while sale activity in the area started on a strong level, prices in the city also continue to increase on a stable pace.
Likewise in Saskatchewan, home sales in Saskatoon and Regina have modestly grown despite a drop in home prices.
Winnipeg also experienced a slight decline in condo prices from $236,204 to $235,506 while maintaining condo prices since 2014 as a result of a high level of supply.