Canadian home prices rise more than expected on gains in Toronto, Calgary

Canadian home prices rise more than expected
Financial Post

Canada’s new home price index rose 0.2% in July, led by gains in Toronto and Calgary, the government statistics agency said.

Prices in Toronto, the country’s largest city, increased 0.3% from the previous month, while Calgary gained 0.6% and Vancouver rose 0.2%, Statistics Canada said Thursday in Ottawa.

Economists forecast the index would rise 0.1%, according to the median estimate in a Bloomberg survey with nine responses. From a year earlier, new home prices increased 1.9% in July.

Canada’s housing market has been showing conflicting signs of strength. While municipalities issued a record amount of building permits in July, housing starts slowed in August by more than forecast. Policy makers have tightened mortgage rules amid signs of overbuilding in places such as Toronto and Vancouver.

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