A real estate agent puts up a “sold” sign in front of a house in Toronto. THE CANADIAN PRESS/Darren Calabrese

Vancouver, Toronto see home sale gains in October, but prices diverge

Greater Vancouver home sales were up by 45.4 per cent compared with a year earlier

Home sales in Canada’s two most valuable real estate regions rose in October as a rebound in the market continued due in part to falling interest rates.

Greater Vancouver home sales were up by 45.4 per cent in the month compared with a year earlier, while Greater Toronto Area home sales were up by 14 per cent.

Gains for the Vancouver area followed a similar jump in September and mark the fourth month in a row of rising sales after significant declines at the start of the year.

Toronto-area home sales were also rebounding from declines at the start of the year, though they were much more moderate than what Vancouver went through.

Toronto Real Estate Board president Michael Collins said home sales have been helped along by the economy and population gains.

“A strong regional economy obviously fuels population growth. All of these new households need a place to live and many have the goal of purchasing a home,” he said in a statement.

For Toronto, the strong demand and economy have pushed home prices higher. The composite benchmark price rose by 5.8 per cent in October for the strongest annual growth rate since December 2017, while the average selling price was up 5.5 per cent to $852,142.

In Vancouver, sales have been boosted in part by price declines.

The Real Estate Board of Greater Vancouver said the composite benchmark price was down by 6.4 per cent from a year ago to $992,900, and down 1.7 per cent over the past six months.

Buyers are returning to the market with more confidence than the first half of the year, said Ashley Smith, president of the Vancouver area board.

“With prices edging down over the last year and interest rates remaining low, hopeful home buyers are becoming more active this fall.”

The Vancouver-area market has seen a steeper correction in recent years after the provincial government introduced numerous measures including a foreign buyer tax meant to cool the market. Ontario also imposed a foreign buyer tax but has not imposed the vacant home and other speculation taxes imposed in B.C.

KEEP READING: Canadian Real Estate Association upgrades 2019 sales forecast to show 1.2% improvement

RBC senior economist Robert Hogue said Vancouver home prices, while still down from a year earlier, are up month-to-month for a third straight time and could turn positive for year-over-year growth by late spring next year to also be noticed by policy-makers.

The federal Liberals also promised during the election campaign to impose a one-per-cent speculation and vacancy tax for properties owned by non-resident, non-Canadians.

Real estate markets have seen a boost this year as fixed mortgage rates have fallen for much of the year after climbing for much of the past two years.

Ian Bickis, The Canadian Press

Like us on Facebook and follow us on Twitter

Get local stories you won't find anywhere else right to your inbox.
Sign up here

Just Posted

Public tips lead to arrest in alleged random assault on Victoria bus

June 19 incident was recorded by onboard camera

Sidney asking tourists to respect health guidelines

Messaging says Sidney is ‘excited to welcome smart, safe, and respectful visits’

CRD explores option to use Oak Bay Lodge for people who are homeless

Motion asks staff to work with BC Housing, Island Health on possibilities

Plans for pot shop in Sidney spark back to life

Changing provincial regulations could clear the way for Sidney’s first ever pot shop

B.C. residents can go to the Royal BC Museum for half price all summer

Museum reopening in phases, COVID-19 measures in place

VIDEO: Victoria’s Raging Grannies call for end to public funding of for-profit senior homes

Organizer says COVID-19 has made senior home issues more apparent

Greater Victoria Crime Stoppers wanted list for the week of July 7

Greater Victoria Crime Stoppers is seeking the public’s help in locating the… Continue reading

POLL: Would you get a vaccine for COVID-19 when it is available?

With the number of positive COVID-19 tests skyrocketing across much of the… Continue reading

Campaign aims to raise $50K for young family of deceased Vancouver Island skydiver

James Smith, 34, died July 5 following incident in Nanoose Bay

Canadian policing organization calls for decriminalization of simple illicit drug possession

Canadian Association of Chiefs of Police want policing focus of opioid crisis to be replaced with a health one

Filing deadline in RCMP sexual-harassment class-action extended due to COVID-19

Plaintiffs now have until January 2021 to submit claims for up to $222,000

Jamie Bacon pleads guilty to charge in Surrey Six case

The plea brings an end to a complex legal case that has spanned more than a decade

Hefty undeclared driver charges piling up, ICBC warns customers

Average extra penalty $2,971 after an at-fault accident

Survey, hotline launched amid probe into racist blood-alcohol guessing game at B.C. hospital

Mary Ellen Turpel-Lafond has been appointed to lead an investigation by Health Minister Adrian Dix

Most Read