TORONTO - The economic slump and a drop in consumer confidence caused house prices to dip during fourth quarter, according to the latest figures from Royal LePage.
It says the real estate market in Canada posted an overall decline in both unit sales and in prices during the fourth quarter of 2008.
Royal LePage says the average price of detached bungalows dipped by 4.8 per cent during the quarter to $319,640.
The average cost of a standard condo fell 5.2 per cent to $233,230 and the average for a standard two-storey home fell 6.3 per cent to $376,140.
Some cities with strong local economies, such as Regina and St. John's, NL, posted double-digit year-over-year price appreciations, while larger cities such as Toronto, Edmonton, Calgary and Vancouver, recorded declining prices.
Royal LePage says 2009 should bring gradual improvements as low mortgage rates and government efforts to revive the economy begin to take hold.
