Housing Market Supported by Ontario Economy in 2015

Posted by: Toronto Real Estate Admin / Category: News Bulletin

TORONTO, February 6, 2015 — Momentum in the Ontario housing market will be sustained through most of 2015 before slowing next year, according to the First Quarter 2015 CMHC Housing Market Outlook released today. Ontario annual home starts will grow to 63,200 in 2015 before easing to 60,500 units in 2016. Ontario home starts will range between 54,800 and 68,100 units this year.

“An improving economy will be more supportive of the Ontario housing market in 2015 than it has been in the recent past. However, as home prices continue to grow, particularly for single family homes, demand will increasingly shift to more affordable housing by 2016,” said Ted Tsiakopoulos, CMHC`s Ontario Regional Economist. “Neighbouring resale markets surrounding the GTA, higher density dwellings and rental over ownership tenure will benefit most from the shift in buying patterns,” added Tsiakopoulos.

Ontario existing home sales will gradually lead the market higher with MLS® sales growing to 209,700 units in 2015 before slowing to 202,700 units in 2016. MLS® sales will range between 188,800 to 220,500 units in 2015. Ontario home prices will grow at a slower rate over the forecast horizon.

As Canada’s authority on housing, CMHC contributes to the stability of the housing market and financial system, provides support for Canadians in housing need, and offers objective housing research and information to Canadian governments, consumers and the housing industry.

For more information, call 1-800-668-2642.

CMHC Market Analysis standard reports are also available free for download at http://www.cmhc.ca/housingmarketinformation.

Market Analysis Contact:

Ted Tsiakopoulos
416-218-3407
Cell: 416-579-4992
ttsiakop@cmhc.ca

Media Contact:

Beth Bailey
416-218-3355
Cell: 416-988-4615
bbailey@cmhc.ca

Follow CMHC on Twitter @CMHC_ca

 Ontario MLS® Sales2

Ontario Starts1 (All Areas)

1 The outlook is subject to a heightened degree of uncertainty. Although point forecasts are presented in this publication, CMHC also presents forecast ranges and risks where appropriate. The forecasts included in this document are based on information available as of January 21, 2015.

2 The term MLS® stands for Multiple Listing Service and is a registered trademark of the Canadian Real Estate Association (CREA).

Article source: http://www.cmhc.ca/en/corp/nero/nere/2015/2015-02-06-0816b.cfm

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