Canada property price rises set to slow in 2014

Canada property price rises are expected to slow in 2014, according to the Canada Mortgage and Housing Corp.

The group revised its forecast upwards for the coming year, with improving economic conditions supporting growing construction and sales, despite rising mortgage rates.

House prices will increase 2.1 per cent to an average of C$390,400 over the year. That rate of growth will then slow to 1.7 per cent in 2015, reports Reuters.

Transactions are expected to increase too, by an equally steady amount: existing home sales will range between 436,000 and 497,000, up from 457,485 in 2013.