Canada Mortgage and Housing Corporation

Canada Mortgage and Housing Corporation

November 02, 2007 11:30 ET

Canada Mortgage and Housing Corporation: 2008 BC and Vancouver Housing Outlook

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Nov. 2, 2007) - Demand for homeownership will keep housing starts and existing home sales at above-average levels in BC and Vancouver, and push new and existing home prices higher in 2008.

"Housing starts in BC will top 33,250 next year down slightly from this year's level but still above average levels," noted Carol Frketich, BC Regional Economist. Factors behind this demand include: unemployment near record lows, strong employment growth, rising wages, relatively low mortgage rates and growing migration. Recent financial market turmoil in the United States will keep interest rates relatively flat in Canada despite upward inflationary pressures.

"In Vancouver, housing demand will be supported through 2008 by ongoing job growth and a steady flow of people moving to the region," said Robyn Adamache, CMHC's Vancouver Senior Market Analyst. Solid home price gains will continue to attract investors and live-in homeowners alike. These factors, combined with Vancouver's growing international reputation as a clean, liveable city, will keep demand for new and resale housing robust. Both new home starts and existing home sales will stay near record highs, but edge down slightly in the year ahead. Look for new and resale home prices in Metro Vancouver communities to increase, but at a slower pace than in recent years.

Canada Mortgage and Housing Corporation (CMHC) has been Canada's national housing agency for more than 60 years. CMHC is committed to helping Canadians access a wide choice of quality, affordable homes, while making vibrant, healthy communities and cities a reality across the country.

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Contact Information

  • Canada Mortgage and Housing Corporation
    Lauren Ralph
    Cell: (604) 202-2609 (November 2, 2007)
    (604) 737-4047 (After November 2, 2007)
    Canada Mortgage and Housing Corporation
    Carol Frketich
    BC Regional Economist
    Cell: (604) 787-5598
    Canada Mortgage and Housing Corporation
    Robyn Adamache
    Vancouver Senior Market Analyst
    Cell: (604) 787-9659