Statistics Canada reported on Thursday the New Housing Price Index (NHPI) edged down 0.1 percent m-o-m for the second straight month in June.

Economists had forecast the NHPI to remain unchanged m-o-m in June.

According to the report, Calgary (-1.0 percent m-o-m) registered the largest price drop in June, with builders tying the decrease to deteriorating market conditions. At the same time, the prices of new homes rose in Gatineau (+1.0 percent m-o-m) and Ottawa (+0.6 percent m-o-m), due primarily to higher construction costs in both census metropolitan areas (CMAs). In addition, new home prices in Hamilton increased 0.7 percent m-o-m, recording the largest monthly gain since July 2017, which was attributable to favourable market conditions and more affordable housing prices in Hamilton relative to Toronto.

In y-o-y terms, NHPI was fell 0.2 in June after a being flat in the previous month. That marked the first decrease since January.