According to the latest data released by the Canadian Real Estate Association (CREA), major markets such as the Greater Vancouver and Toronto areas, Montreal and Calgary saw average home prices increase between September 2021 and September 2022. , smaller real estate markets located outside these hubs experienced comparatively higher annual growth rates.
That’s because rising interest rates have a greater influence on home prices in larger, more expensive markets, said Shaun Cathcart, CREA’s senior economist and director of housing data and market analysis.
“Interest rates have a much bigger impact in places where the price-to-income ratio is much higher,” Cathcart told CTVNews.ca in an interview Wednesday.  “People need to borrow more closely within the limits of the stress test [in more expensive markets].”
Areas that saw home prices soar during the pandemic, such as Ontario and British Columbia, are now seeing their annual gains shrink as buyers face higher stress test rates, Cathcart said.  On the other hand, affordable markets like the Prairies and Maritimes may not have seen the same gains, but they’ve done a better job of holding onto them, he said.
“In some of these more accessible places, [average prices] not only have they continued to rise for longer in the spring, but they’ve also declined less since then,” Cathcart said.
In Victoria, B.C., for example, the median home price increased 15 percent from September 2021 to September 2022. During the same period, median home prices in Saguenay, Que., increased 13.9 percent.  Residents of Yarmouth, NS saw the highest annual growth of any real estate market in September 2022 at 21.7%.  These figures are MLS benchmark prices, calculated to reflect price trends based on the majority of homes in a given area.
But those kinds of price gains aren’t likely to last as rising interest rates continue to depress home prices, Cathcart said.
“These year-over-year gains are shrinking rapidly with each passing month,” Cathcart said.  “[October] it may be the last month you see so many markets still making year-over-year gains.”
Below is a list of properties compiled by CTVNews.ca that are for sale in markets that have seen some of the highest annual growth rates across the country.

YARMOUTH

(Louisette Higgins, Modern Realty)
Type: House
Price: $339,900
Year of manufacture: 1987
Property Area: 200.67 sq.m
Lot size: under 0.2 hectares
Price increase: 21.7 percent year-on-year
This four bedroom, two bathroom home in Yarmouth, NS features a fully fenced yard, new deck and above ground pool.  The main floor has an open plan lounge and dining room leading to a kitchen with breakfast bar.  In the basement there is a laundry room with access to the backyard, as well as another room that can be used as an office or home gym.

GREATER MONCTON

(Emma Lee Arsenault Photography / Adele Poirier, Keller Williams Capital Realty)
Type: House
Price: $349,900
Year of manufacture: 2007
Property Area: 212.38 sq.m
Plot size: 322 sq.m
Price increase: 19.6 percent year-on-year
This two-story residence, measuring almost 213 square meters, has three bedrooms and three bathrooms.  Hardwood and tile floors are found throughout the main level, and the living room includes a propane fireplace.  From the dining room, two sliding patio doors lead to a four-season sunroom that can be used year-round.  The basement is also fully finished and has a separate side entrance.

ALBERTA WEST

(KLIK Solutions / Lori Gelmici-Hanni, Royal LePage Edson Real Estate)
Type: House
Price: $629,500
Year of manufacture: 2013
Property Area: 147.44 sq.m
Plot size: 1.59 hectares
Price increase: 17.7 percent year-over-year
Laminate floors and modern finishes run through this farmhouse near Edson, Alta.  Designer lighting on the main floor adorns the high ceilings, while the kitchen features granite counters and a large island.  Four bedrooms and three bathrooms fill the rest of the house.  A family room occupies the basement, along with a newly renovated bathroom with a tiled shower.

VICTORIA

(Spartan Media / Anna Piloyan, Re/Max Camosun Oak Bay)
Type: House
Price: $839,000
Year of manufacture: 1920
Property Area: 89.74 sq.m
Plot size: 408.77 sq.m
Price increase: 15 percent year-over-year
Built in the 1920s, this character house has high ceilings and large windows.  The detached house also has a small, detached garage that can be converted into a workshop.  Perched on a large rock, the home overlooks the Oaklands neighborhood in Victoria, BC, and is within walking distance of parks, schools and restaurants.

PRINCE EDWARD ISLAND

(Taralynn Arsenault, Palmer Real Estate Group, Keller Williams Select Realty)
Type: House
Price: $399,999
Year of manufacture: 2002
Property Area: 272.39 sq.m
Lot size: 0.26 hectares
Price increase: 14.5 percent year-on-year
This four bedroom, four bathroom farmhouse is located between Charlottetown and Summerside, PEI.  The secluded lot has patios at the front and back of the house, as well as a gazebo in the backyard.  On the main floor there is a kitchen, formal dining room, living room and office.  The top floor master bedroom has an en-suite bathroom with double vanity, full shower and separate jetted tub.

SAGUENAY

(Saïda Murray, Proprio Direct)
Type: House
Price: $365,000
Year of manufacture: 1974
Property Area: 178.37 sq.m
Lot size: 0.2 hectares
Price increase: 13.9 percent year-over-year
In a quiet neighborhood in Saguenay, Que., sits this four-bedroom, one-bathroom home.  The large plot is set back to a forest and there are no neighbors behind the house.  The two-story home also has a finished basement, and is close to basic amenities as well as the Hikoutimi River.

CALGARY

(Dianne Brown, Re/Max Landon Real Estate)
Type: House
Price: $685,000
Year of manufacture: 1912
Property Area: 79.8 sq.m
Plot size: 226 sq.m
Price increase: 11.5 percent year-on-year
The main floor of this Calgary home features 10-foot ceilings and a large bay window.  The corner plot has one bedroom plus a den, plus a bathroom.  The kitchen features white cabinets, exposed brick wall and stainless steel appliances, while the living room has a gas fireplace with mantle.  Oak floors that were installed when the home was first built in 1912 run through both floors of the home.

WINDSOR-ESSEX

(Windsor Creative Real Estate Photography / Rick Lescanec, Deerbrook Plus Realty)
Type: House
Price: $699,900
Year of construction: 1900
Property Area: 213.68 sq.m
Plot size: 450 sq.m
Price increase: 10.8 percent year-on-year
Although it may be over 100 years old, this home in Windsor, Ont., has been renovated over the years.  A brick porch sits at the entrance to the five-bedroom home, which also features custom stonework in the bathrooms.  The sunroom leads to a backyard with a deck and gazebo.  There is also an open attic with a skylight.

SOUTHEAST SASKATSUAN

(Gale Tytlandsvik / Linda Mack, Re/Max Blue Chip Realty)
Type: House
Price: $364,900
Year of manufacture: 1985
Property Area: 119.10 sq.m
Plot size: 767.29 sq.m
Price increase: 9 percent year-over-year
This four-bedroom, three-bathroom bungalow in Estevan, Sask., has undergone several upgrades since it was built in 1985. In addition to the main floor living, dining and kitchen areas, the basement features a large family room with built-in closets and gas fireplace.  Also in the basement there is a hideout, a storage room and a hot tub.  The fully fenced back yard includes a deck, garden and two sheds.

NEWFOUNDLAND AND LAMPRADOR

(Matt Grandy Photography / Jackie Kavanagh, YYT Realty Group- Kavanagh Burke, Royal Lepage Vision Realty)
Type: House
Price: $309,900
Year of manufacture: 1954
Property Area: 212 sq.m
Lot size: under 0.2 hectares
Price increase: 8 percent year-over-year
This 212 square meter house in St.  John’s, NL, features a large updated kitchen, with underfloor heating and ceramic tile.  The rest of the house consists of a large living room and dining room, as well as four bedrooms and two bathrooms.  In the basement there is a laundry room and a family room.  The detached house is within walking distance of a hospital and grocery stores.

INTERIOR BRITISH COLUMBIA

(PrimeLight Media / Shannon Stone, Re/Max Kelowna Stone Sisters)
Type: House
Price: $799,900
Year of manufacture: 1940
Property Area: 129.88 sq.m
Lot size: under 0.4 hectares
Price increase: 6.1 percent year-on-year
This 130 square meter home is located in Kelowna, BC, surrounded by greenery.  The large backyard serves as the ideal outdoor living space, with a concrete patio and flower garden.  Inside there are two bathrooms, updated to include heated floors, as well as two bedrooms.  The house also has an open living and dining area connected to the kitchen.

MONTREAL

(Stephanie Rizzuto, The Agency Montreal)
Type: Apartment
Price: $499,000
Year of manufacture: 2015
Property Size: 68 sq.m
Batch Size: N/A
Price increase: 5.7 percent year-over-year
This two bedroom, one bathroom corner apartment is located in the Griffintown neighborhood of Montreal.  There are 9-foot floor-to-ceiling windows throughout the unit, which features a single floor plan and a private balcony.  Amenities at the condominium include a picnic area, a heated outdoor pool, and a rooftop terrace with 360-degree views of downtown Montreal.

TORONTO

(John Wilken Open House Media / Sean Miller, Property.ca)
Type: Apartment
Price: $999,000
Year of construction: 2022
Property Area: 107.77 sq.m
Batch Size: N/A
Price increase: 4.3 percent year-over-year
The polished concrete ceilings in this apartment unit stand in stark contrast to its modern design.  Together with…