Home price drop worst in history: Teranet

May 1, 2023



The Canadian home price index saw a year-over-year decline even worse than the previous record during the 2008 financial crisis, according to a report released April 16. But three cities bucked the trend.
The Teranet-National Bank House Price Index, an independently developed representation of average home price changes in 11 metropolitan areas across Canada, fell by 6.9 per cent from March 2022 and March 2023.
Daren King, an economist with National Bank, said it’s important to put that number into perspective given record increases over the last two years followed by the Bank of Canada’s swift move to increase interest rates.
“Affordability conditions are horrible right now, I think the market is mostly frozen,” he said.
In Toronto, the index was down 12.1 per cent. The drop was higher in other GTA cities such as Oshawa (19.3 per cent) and Barrie (13.3 per cent). Hamilton saw a drop of 13.5 per cent and Guelph a drop of 15.8 per cent.
There were three cities that saw increases—Calgary (up 7.6 per cent), Quebec City (up 4.1 per cent) and Edmonton (up 2.2 per cent).