The national average price is expected to rise by a further 2.4 per cent in 2014 to $391,100, with opportunistic buyers continuing to capitalize on favourable market conditions.
Alberta is forecast to post the biggest rise at 3.4 per cent, with gains also expected in Saskatchewan, Manitoba, and Newfoundland and Labrador.
“Most housing markets are well balanced, including many large urban centres,” said Gregory Klump, CREA’s Chief Economist. “Housing price gains are always stronger in places where supply is tight relative to demand, such as we’re seeing in Calgary and in parts of southern Ontario including the low rise market in Toronto. Prospects for price appreciation will be limited in parts of Quebec and some areas in the Maritimes, where competition among sellers has increased.”
The national average home price is expected to rise by 5.2 per cent to $382,200, with small gains in Ontario and the Prairie provinces.
CREA says this ‘stronger than expected activity’ reflects the trend of buyers with pre-approved mortgage financing making purchases before their lower rates expire.
Sales are projected to reach 458,200 units in 2013, representing an increase of eight tenths of one per cent compared to 2012. This number, says CREW, should climb to 475,000 units in 2014 with B.C. leading that charge “reflecting the return to of activity to more normal levels compared to a weak start to the year in 2013.”