Average Winnipeg housing prices up over six per cent compared to last year

- Market Continues to Remain Stable -

WINNIPEG , Oct. 8 /CNW/ - The Royal LePage House Price Survey released today revealed average year-over-year house prices in Winnipeg increased over 6 per cent.

"Prices continue to remain strong throughout 2009," says John Froese , Broker for Royal LePage Prime Real Estate. "The average year-over-year house price is up in almost all categories, with well-priced homes in certain regions receiving multiple offers."

Standard two-storey homes and detached bungalows saw average year-over-year price increases from 5.0 per cent and 5.6 per cent respectively, with standard condominiums showing the largest price increase at 8.2 per cent, as first-time home buyers continue to capitalize on low interest rates in a strong economic market.

Compared to the second quarter of 2009, average house prices in Winnipeg are also up in most housing categories. Standard two-story homes show an average price increase from $265,050 to $265,938 , while detached bungalows and condominiums show larger increases from $237,750 to $240,875 and $143,700 to $145,614 respectively.

" Winnipeg never really experienced significant price drops during the downturn because of the strong economy in Manitoba; making our housing market very attractive," says Froese. Nevertheless, he also mentions that the number of sales have dropped roughly 7 per cent in the last year, with inventory below $150,000 down 13.6 per cent.

Overall Canada's housing market is on the road to recovery, but despite the strength of the market in the third quarter, giving the appearance of a surge in real estate activity, Royal LePage cautioned that sales are normal and simply lagging approximately one month behind the typical seasonal pattern in year-to-date analysis.

"The economic recession interrupted the flow of the real estate cycle but it is essentially back on track," said Phil Soper , president and chief executive officer, Royal LePage Real Estate Services. "There is the illusion of a boom in the market, but in fact what we are experiencing is the end of a normal, short-term correction. Once housing supply returns to normal levels, we believe the economy will support modest pricing growth into 2010."

About the Royal LePage House Price Survey

The Royal LePage House Price Survey is the largest, most comprehensive study of its kind in Canada , with information on seven types of housing in over 250 neighbourhoods from coast to coast. This release references an abbreviated version of the survey, which highlights house price trends for the three most common types of housing in Canada in 80 communities across the country. A complete database of past and present surveys is available on the Royal LePage Web site at www.royallepage.ca. Current figures will be updated following the complete tabulation of the data for the third quarter. A printable version of the third quarter 2009 survey will be available online on November 6th, 2009 .

Housing values in the Royal LePage Survey are Royal LePage opinions of fair market value in each location, based on local data and market knowledge provided by Royal LePage residential real estate experts. Historical data is available for some areas back to the early 1970s.

About Royal LePage

Royal LePage is Canada's leading provider of franchise services to residential real estate brokerages, with a network of nearly 14,000 real estate professionals in over 600 locations across Canada . Royal LePage believes in the importance of giving back to the community and is the only Canadian real estate company to have its own charitable foundation. The Shelter Foundation is dedicated exclusively to funding women's shelters and violence prevention and education programs. Royal LePage is managed by Brookfield Real Estate Services, and is part of a brand family that includes Royal LePage, Johnston and Daniel, and La Capitale Real Estate Network. An affiliated company, Brookfield Real Estate Services Fund, is a TSX listed income trust, trading under the symbol "BRE.UN."

For more information visit www.royallepage.ca.

For further information: Jacque Benson, Fleishman-Hillard Canada, [phone] ext. 227; Tammy Gilmer, Director, Public Relations and National Communications, Royal LePage Real Estate Services, [phone]