CANADA: Doug Porter of BMO Capital Markets notes that Canadian home
sales slipped 1.5% m-o-m in February, a second monthly dip.
Nevertheless, sales were up “a hefty 44% from year ago levels last
month.” However, despite the impressive year on year gains, the market
appears to be leveling off after “last year’s amazing turnabout.” The
Vancouver Olympics may have had a negative impact on sales activity,
with British Columbia sales up “only 63% y-o-y compared with a 4-month
string of gains above 100%,” Porter says. Sales in Ontario saw strong
activity in contrast. “Both provinces are likely to knock down some
meaty figures in the lead-up to the impending HST (Harmonized Sales Tax
i.e. merger of Provincial Sales Tax (PST) and Goods and Services TAx
(GST) will take effect July 1, 2010), before reversing course later this
year,” Porter says.