Barrie's Housing Market to Slow Down

TORONTO, ONTARIO--(Marketwire - May 30, 2011) - Single-detached homes will make up the majority of all new construction in the Barrie Census Metropolitan Area (CMA) in 2011 but, overall starts will be lower according to the Barrie Housing Market Outlook, Spring 2011 edition released today by Canada Mortgage and Housing Corporation (CMHC). Reports are also available for other major metropolitan areas across the country.

Highlights of the Barrie Housing Market Outlook report include:

• Sales will moderate in 2011; new listings will remain elevated pushing the market further into a balanced situation. In 2012, sales will pick up slightly while new listings remain elevated, keeping the market balanced.

• Resale home price growth will slow in 2011 as homebuyers have more choice in the market. In 2012, price growth will accelerate a little given a tighter market.

• Less spill-over demand from the resale market will mean moderate new housing starts in 2011 and 2012.

• The broad-based economic recovery will continue in 2011 and will strengthen in 2012. Wages will continue to increase and the unemployment rate will continue to decline.

"Stable housing demand means the Barrie housing market is settling into a balanced state where repeat buyers will do the majority of the buying," said Edgard Navarrete, CMHC's Barrie Market Analyst. "This will mean moderate housing market activity in Barrie for 2011 and 2012," added Navarrete.

"Consumer buying patterns, particularly in more expensive southern Ontario markets, will increasingly shift to less expensive housing over the next few years thanks to tighter mortgage market conditions. This bodes well for the apartment ownership and rental sector," said Ted Tsiakopoulos, CMHC's Ontario Regional Economist. "Northern Ontario housing markets are an exception as strong activity in the mining sector and relatively more affordable housing will support growing demand for low density housing," added Tsiakopoulos.

As Canada's national housing agency, CMHC draws on 65 years of experience to help Canadians access a variety of high quality, environmentally sustainable and affordable homes. 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.

Mettant à contribution 65 ans d'expérience à titre d'organisme national responsable de l'habitation au Canada, la SCHL aide les Canadiens à accéder à un éventail de logements durables, abordables et de qualité. Elle offre également des données, des analyses et des rapports fiables, impartiaux et actuels sur le marché de l'habitation pour aider les consommateurs et le secteur de l'habitation à prendre des décisions éclairées.

Aussi disponible en français