WRAPUP 3-Canada home prices rise further, gov't says to remain vigilant

Thu Oct 13, 2016 5:30pm EDT
 
Email This Article |
Share This Article
  • Facebook
  • LinkedIn
  • Twitter
| Print This Article | Single Page
[-] Text [+]

(Adds details on meeting with economists)

By Andrea Hopkins and Alastair Sharp

OTTAWA/TORONTO Oct 13 (Reuters) - The Canadian government will closely watch the country's housing market but has no imminent plans for further cooling measures, its finance minister said on Thursday, as data showed prices were still on the rise.

Canadian resale home prices rose in September, while new home prices were up in August, separate reports showed, suggesting that slowing sales in some regions have not cooled prices.

Low borrowing costs have kept Canada's housing market robust since the financial crisis, but surging prices in Toronto and Vancouver have fueled concerns about a potential housing bubble.

Canada's Liberal government tightened mortgage rules and closed a tax loophole on home sales earlier this month in its latest bid to cool the market.

Finance Minister Bill Morneau told reporters in Toronto, after meeting economists for pre-budget consultations, that the government did not have more measures to announce imminently.

"We will remain vigilant in watching the market to ensure that it is stable for the long-term," he said.

The government will release an economic and fiscal update this fall.   Continued...