As the Bank of Canada raises interest rates to dampen inflation, the country’s average home price could fall 15 percent by December 2023, says a new real estate outlook report.
Canada’s average home price rose by 50 percent over the past two years, from nearly $530,000 at the end of 2019 to just over $790,000 at its peak in February 2022, notes the French-language report, published on June 8 by Desjardins, a Canadian financial services cooperation.
The report said average property prices have steadily declined after the central bank began raising a key overnight interest rate in March. The month-to-month average home price in the country fell by 2.6 percent in March compared to February, and again by 3.8 percent in April….