New Housing Price Index

The New Housing Price Index remained at 147.5 (1997=100) in December. This was the first time since June 2000 that prices did not advance at the national level. Compared to one year ago, contractors' selling prices increased 10.7%.

There were price increases in 9 of the 21 metropolitan areas surveyed. Saskatoon had the largest monthly increase at 3.0%, followed by Regina (+1.9%) and London (+0.7%). Costs for construction materials, in particular electrical, drywall, roofing and windows, plus labour rates, were the contributing factors. In Saskatoon, increased lot values affected by city levies were also cited.

Gains were also observed in Winnipeg, Hamilton, Kitchener, Edmonton, St. John's and Toronto and Oshawa. Of the nine metropolitan areas showing increases, land prices rose in four.

Six metropolitan areas registered no monthly change. Among those showing decreases were Calgary (-0.5%) and Victoria (-0.4%), due mainly to a moderating market. Prices in Greater Sudbury / Grand Sudbury and Thunder Bay, Windsor, St. Catharines–Niagara and Saint John, Fredericton and Moncton were also down from November.

Despite showing a monthly drop, Calgary (+42.4%) posted the largest 12-month increase once again, followed closely by Edmonton (+41.5%). Saskatoon (+16.1%), Regina (+12.3%), Vancouver (+8.2%) and Winnipeg (+7.9%) also had noteworthy year-over-year gains.

Available on CANSIM: table 327-0005.

Definitions, data sources and methods: survey number 2310.

The fourth quarter 2006 issue of Capital Expenditure Price Statistics (62-007-XIE, free) will be available in April.

For more information, or to enquire about the concepts, methods or data quality of this release, contact our Client Services Section (613-951-9606, fax: 613-951-1539; prices-prix@statcan.gc.ca) or Randy Sterns (613-951-8183; randy.sterns@statcan.gc.ca), Prices Division.

Table(s).