Canadian home prices remain incredibly calm, cool, and collected
While it’s too early for victory laps, evidence is building that the Canadian housing market has pulled off the “fabled soft landing”, says Doug Porter, chief economist for BMO Capital Markets.
Sales of existing homes climbed 0.6% in April from March, which trimmed the year-over-year decline to 3.1%, the Canadian Real Estate Association said on Wednesday.
Real estate sales reports for the month of April are just starting to be released by local realtor associations, and the the reports out today are showing some strong signs of recovery in both unit sales and/or home prices in Minneapolis-St. Paul, Nashville, Des Moines, the D.C. area, Baltimore and Reno.
Nationally, home sales fell in May by 3.8% from April and by 15.3% from May last year, but home sales in Florida were booming in May, with strong gains in condo sales, especially in the Miami leading, leading the boom.
Carnegie Endowment submits:The collapse of the U.S. housing market was a critical cause of the Great Recession and sustained growth in this sector is necessary for the stimulus-driven economic recovery to succeed. After improving in late 2009 and early 2010, the housing market appears to be weakening again following the expiration of the homebuyer tax credit.