New house prices drop

Statistics Canada says overall contractor prices for new homes fell 0.2 per cent on a month-to-month basis in June after a 0.1 per cent decline in May.

Statistics Canada says overall contractor prices for new homes fell 0.2 per cent on a month-to-month basis in June after a 0.1 per cent decline in May.

The agency’s New Housing Price Index was down 3.3 per cent from June 2008, with the largest declines registered in Western Canada Vancouver saw the largest month-to-month drop — 0.9 per cent from May — as some builders cut prices to promote sales and clear inventories. Prices fell 0.8 per cent in Edmonton and 0.5 per cent in Victoria on a month-to-month basis.

Compared with June 2008, Edmonton prices were off 11.7 per cent, while Vancouver recorded a 9.1 per cent drop. St. John’s, N.L., saw prices rise 10.3 per cent from June 2008, while Quebec prices were up 6.8 per cent in the same period.