Canadian home prices posted a record jump for February, fuelled by sales in Toronto, Hamilton and Vancouver, according to a Teranet-National Bank survey.
The national composite house price index showed a 1.0 per cent gain for the month, the largest February increase in the 18-year history of the index.
Toronto soared a record 1.9 per cent, while Hamilton gained 1.4 per cent, also a record increase. Vancouver added 1.4 per cent.
However the story wasn’t the same across the country as seven of the 11 major cities tracked posted declines, with Calgary falling 1.3 per cent.
The Calgary Real Estate Board earlier this month reported the average price of single-family homes sold in Calgary last month rose 2.8 per cent from a year earlier, to $557,061. The median price improved by 5.2 per cent, to $492,000.
Compared with a year earlier, the Teranet-National Bank index was up 13.4 per cent, the largest 12-month increase since 2006.
The year-over-year jump was due to a record 23 per cent increase in Toronto and a 19.7 per cent gain in Hamilton, also a record.
“In order to accurately assess the Canadian home resale market, it is essential to recognize the dichotomy between markets like Toronto, Hamilton and Victoria, where price growth is in the double digits, and other markets where the progression of home prices has been much more moderate, if not negative,” National Bank senior economist Marc Pinsonneault wrote.
Prices in Vancouver, while up in February compared with a year ago, are off their highs set in September as measured by the Teranet-National Bank index. The number of sales in the city has also decreased.
The price index came one day ahead of the latest home sales figures from the Canadian Real Estate Association expected Wednesday.