The latest monthly stats on Canadian real estate are out and many market watchers were surprised to see sales dip in September.
Nationally, home sales slipped 2.1% last month compared to August. Year over year though sales continued to increase, edging up 0.7%. Prices also continued their upward march posting a 6.9% increase from September 2014.
The numbers, though, remain a tale of two cities. With Toronto and Vancouver taken out of the calculations prices rose 2.9%. Alberta and Saskatchewan continue to feel the pressure of falling oil prices. While prices were largely flat across the region, Calgary sales plunged 34%.
Overall, the Canadian Real Estate Association is calling the market balanced as reflected by Montreal, for example, where overall sales rose 5% and prices increased 6%.
The expectation is for more of the same in the coming months. The Bank of Canada is not expected to make any changes in its policy announcement this week. Affordability will continue to push buyers into less expensive areas outside Vancouver and Toronto. And uncertainty in the energy sector will start to weight on consumer confidence.