Canadian Housing Market to Remain Steady
OTTAWA, February 13, 2012 — Housing markets are expected to remain steady in 2012 and 2013, according to Canada Mortgage and Housing Corporation’s (CMHC) first quarter 2012 Housing Market Outlook, Canada Edition1.
“With the Canadian economy set to expand at a moderate pace and mortgage rates expected to remain low, activity levels in 2012 in both new home construction and sales of existing homes will stay close to levels seen in 2011,” said Mathieu Laberge, Deputy Chief Economist for CMHC.
Housing starts will be in the range of 164,000 to 212,700 units in 2012, with a point forecast of 190,000 units. In 2013, housing starts will be in the range of 168,900 to 219,300 units, with a point forecast of 193,800 units.
Existing home sales will be in the range of 406,000 to 504,500 units in 2012, with a point forecast of 457,300 units. In 2013, MLS®2 sales are expected to move up in the range of 417,600 to 517,400 units, with a point forecast of 468,200 units.
The average MLS® price is forecast to be between $330,000 and $410,000 in 2012 and between $335,000 and $430,000 in 2013. CMHC’s point forecast for the average MLS® price is $368,900 for 2012 and $379,000 for 2013. The moderate increases in the average MLS® price are consistent with the balanced market conditions that occurred in 2011, and that are expected to continue in 2012 and 2013.
As Canada's national housing agency, CMHC draws on more than 65 years of experience to help Canadians access a variety of quality, environmentally sustainable and affordable housing solutions. CMHC also provides reliable, impartial and up-to-date housing market reports, analysis and knowledge to support and assist consumers and the housing industry in making informed decisions.
CMHC Market Analysis standard reports are also available free for download at http://www.cmhc.ca/housingmarketinformation.
1 The forecasts included in the Housing Market Outlook reflect information available as of January 18, 2012. Where applicable, forecast ranges are also presented in order to reflect financial and economic uncertainty.
2 Multiple Listing Service® (MLS®) is a registered trademark owned by the Canadian Real Estate Association.
Information on this release:
Charles Sauriol, Media Relations