> Other than a few isolated places, housing across all of Canada has been going up substantially for well over a decade.
The average Canadian home price in 2005 was about $250,000 CAD. The average home price today, excluding Toronto and Vancouver, is about $300,000 CAD (in 2005 dollars). That is 1.6% average growth per annum.
1.6% real growth is substantial? It is not nothing, but I think you're being a tad overdramatic. If any other asset class only returned a measly 1.6%, we'd call that disappointing.
The story is, of course, quite a bit different once you include Toronto and Vancouver. But that's been the entire discussion up to this point, so I'm sure I don't need to reiterate that yet again.
Average national home price as reported by CREA. And, as we already discussed, real growth from May 2016 to May 2017 was just 2% including Vancouver and Toronto. Several provinces are seeing real decline in home prices. I'm not seeing where this substantial growth across the entire country is hiding...?
"While that might put peak price growth behind us, the question is how much the market will cool from the unsustainable 30-per-cent-plus pace, and how long the adjustment will persist,” he said in a statement."
How the country is growing 2% overall when the most populous region by far grew at 30% last year, and nowhere noteworthy is going down. 6.5M/36M x .3 = 5.4% national growth just from the GTA. We also have no inflation in Canada despite housing affordability being a major issue.
What 30% pace? Real growth has been 1.6% per annum. Now I'm absolutely certain you are confusing Toronto with the rest of Canada. The vast majority of Canadians don't live in Toronto. It is not representative of anything related to Canada as a whole.
> How the country is growing 2% overall when the most populous region by far grew at 30% last year
You're going to have to ask CREA, the official source for home prices in Canada. That is what they have reported. I can only go by what they have given.
If we can believe Zolo, who isn't exactly official but provides more comprehensive data: Toronto has declined by almost 8% in the last quarter and is barely up at all over the past year. Are you sure about this 30% YoY? Perhaps you're looking at the wrong period?
The average Canadian home price in 2005 was about $250,000 CAD. The average home price today, excluding Toronto and Vancouver, is about $300,000 CAD (in 2005 dollars). That is 1.6% average growth per annum.
1.6% real growth is substantial? It is not nothing, but I think you're being a tad overdramatic. If any other asset class only returned a measly 1.6%, we'd call that disappointing.
The story is, of course, quite a bit different once you include Toronto and Vancouver. But that's been the entire discussion up to this point, so I'm sure I don't need to reiterate that yet again.