Victoria Housing market still defying expectations

Housing market still defying expectations

The Canadian housing market continues to defy expectations of a price slowdown, propped up by a solid economy and low interest rates.

Royal LePage Real Estate Services says average prices kept heating up during the summer despite swelling numbers of homes for sale in many markets.

The national average price of a standard bungalow was up 7.4 per cent from a year earlier at $265,405, the report said, while the national average price of a condominium increased 6.8 per cent to $185,195 and a standard two-storey home cost 6.7 per cent more at $324,066.

In Toronto, a detached bungalow rose 6.4 per cent to $364,111 and a standard two-storey by 4.8 per cent to $459,250.

Sales activity remained strong across the country through the usually slack summer months, Royal LePage added, reporting a record volume of August sales.

Victoria showed the steepest price increases and overall the gains were skewed toward Western Canada, where high energy prices have lifted the economy and kept inventory tight.

Growth was slower in markets east of Manitoba, aside from New Brunswick, which saw double-digit gains.