The average sale of houses in Greater Toronto area of Canada nosedived in September compared to the sales in
August. Compared to the sale of houses during the corresponding period last year, the house sales dropped by at least 44.1 per cent. The comparative figures for the month of August indicate 10.5 percent drop in the sales. Among the new listings, the sale of houses in this September, compared to last September, registered 16.7 percent decrease, while active listings for the month registered 47.3% increase.
Compared with the sale of houses in August, the sale price went up by 0.7 per cent. Compared to the prevailing prices a year ago, the price was 4.3 percent, yet the sale of housing units is depressing. The Bank of Canada augmented its policy rate by 75 basis points, interest on housing loans rose to 3.25%, which is described as the maximum in 14 years. In this backdrop, the interest rates are expected to grow further.
