TORONTO (Reuters) - The Canadian Real Estate Association cut its 2010 forecast for resale house prices and sales on Wednesday, saying sales in British Columbia were not as strong as expected at the start of the year.
The industry group said it now expects the average price to climb 1.6 percent to C$325,400 ($309,905) nationally in 2010, a big drop from its previous forecast of a 5.4 percent gain.
Sales are seen rising 5.5 percent to 490,600 units in 2010. In February, CREA forecast sales of 527,300 units in 2010, up 13.3 percent from 2009.
The group said a decline in affordability in British Columbia hurt sales in the province during the first quarter, although sales in Ontario were much as expected. The two provinces hold some of the country's biggest and highest-priced markets.
"Lower expected activity in British Columbia accounts for more than half of the downward revision in national sales activity," the group said.
