Home sales and prices New Brunswick dipped slightly last month as larger drops were reported in other major Canadian cities, newly released statistics indicate.
Some 1,270 homes were sold across the province in June, according to the New Brunswick Real Estate Association. That’s down 3.7 per cent from June 2021, but still more than 28 per cent above the 10-year average.
There were 432 homes sold last month in the greater Moncton area, which includes Dieppe, Riverview and the surrounding areas in the southeast. That’s down 3.1 per cent compared to the same month a year ago.
In Toronto, the number of homes sold was down 41 per cent, while in Vancouver, sales fell by 35 per cent compared to June 2021.
“While the major markets are starting to show a bit of a slowdown, in the greater Moncton area we’re still experiencing some significant population growth, and it seems to be accelerating, if anything,” Mike Power, the president of the Greater Moncton Realtors, said in an interview.
Housing prices soared during the pandemic as the province broke population records and low interest rates allowed people to buy more expensive homes. It has led to concerns about people being priced out of the market as rental costs have also climbed.
Power said in a news release with the latest statistics that it’s reasonable to expect the Moncton market to change as the Bank of Canada continues to hike interest rates.
He said they are monitoring statistics closely for signs the market is weakening, though in a news release described it still has “full steam ahead for our local market.”
“We’re starting to see what we think may be the start of a tipping point,” Power said in an interview. “Although, the stats don’t yet back it up. The stats tend to trail what’s actually happening on a day-to-day basis. So it’ll be a while before we know if it’s a trend or not.”
He said they’re starting to see fewer people competing for each property.
The benchmark cost of a single-family home in the Moncton region was $348,600 in June, down from $353,200 in May. That price is up 107 per cent compared to five years ago.
The benchmark figure is used in place of an average to reflect homes considered more typical than low- or high-cost properties.
Looking at just the city of Moncton, that benchmark single-family home price was $363,700. In Dieppe, it was $440,700, while in Riverview it was $331,000.
In June, the benchmark cost of a single-family home in the province sat at $299,900, up almost 30 per cent from a year earlier.
Increases in home sales were reported in northern parts of New Brunswick, while declines were reported in Saint John (-3 per cent), greater Moncton (-3.1 per cent), and Fredericton (-10.8 per cent) compared to June 2021.
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