Canada Mortgage and Housing Corporation

Canada Mortgage and Housing Corporation

February 19, 2009 11:00 ET

Canadian Mortgage and Housing Corporation: British Columbia Home Starts to Decline

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Feb. 19, 2009) - Despite a forecast of lower housing starts in 2009 and 2010, prospective homebuyers will benefit from more choice than in recent years, according to the latest forecast from Canada Mortgage and Housing Corporation (CMHC).

"Builders will start fewer homes in response to weak demand and an abundant supply of housing," noted Carol Frketich, BC Regional Economist. Housing starts in the province will total about 22,800 units in 2009 and about 20,700 units in 2010, compared to 34,321 home starts in 2008.

A slowing economy and job market will contribute to lower existing home sales this year. Resales will increase in 2010 as a stronger economy and lower mortgage carrying costs, as a result of moderating home prices, eventually draw buyers back to the housing market.

The average MLS® price will decline to just under $408,000 this year, narrowing the price gap with the rest of Canada. In 2010, the resale market will return to more balanced supply and demand conditions, and will result in an average existing home price stabilized at close to the 2009 level.

As Canada's national housing agency, CMHC draws on more than 60 years of experience to help Canadians access a variety of quality, environmentally sustainable, and affordable homes - homes that will continue to create vibrant and healthy communities and cities across the country.

(Ce document existe egalement en francais)

To view the tables accompanying this press release please click on the following link: http://media3.marketwire.com/docs/cmhc219.pdf

Contact Information

  • Canada Mortgage and Housing Corporation
    Carol Frketich
    BC Regional Economist
    (604) 737-4067 or Cell: (604) 787-5598
    or
    Canada Mortgage and Housing Corporation
    1-800-668-2642
    Website: www.cmhc.ca