Canada Mortgage and Housing Corporation

Canada Mortgage and Housing Corporation

May 30, 2011 08:15 ET

CMHC Vancouver and Abbotsford Spring Housing Market Outlook

VANCOUVER, BRITISH COLUMBIA--(Marketwire - May 30, 2011) - Canada Mortgage and Housing Corporation (CMHC) is expecting that Vancouver Census Metropolitan Area (CMA) new home construction and existing home sales will grow this year and next. Home starts are forecast to increase five per cent this year, to 16,000 units and nine per cent in 2012, to 17,500 units. MLS®1 sales are forecast to increase six per cent, to 33,000 transactions this year and a further nine per cent, to 36,000 sales in 2012.

"An increase in higher end detached home sales in the first quarter in some areas of Greater Vancouver will push the average MLS® price (for all home types combined) up 14 per cent in 2011, to $770,000," noted Robyn Adamache, Senior Market Analyst for Vancouver with CMHC. As a result of balanced resale market conditions, the average resale price is projected to increase three per cent in 2012, to $795,000.

New home construction in the Abbotsford CMA will continue to rise this year and next. Housing starts are expected to increase by eleven per cent in 2011, to 575 units and thirteen per cent in 2012, with 650 new homes started.

"Housing demand will remain steady as favourable mortgage loan interest rates and lower home prices in comparison to other major centres in the Vancouver CMA, attract home buyers to the Fraser Valley," said Richard Sam, Market Analyst for Abbotsford and the Fraser Valley with CMHC. MLS® sales in the Fraser Valley are forecast to increase by seven per cent in 2011, to just over 15,000 transactions and a further three per cent in 2012, to approximately 15,500.

As Canada's national housing agency, CMHC draws on 65 years of experience to help Canadians access a variety of 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 vital decisions.

For more information, and to download CMHC's Spring Housing Market Outlook reports, please visit CMHC's website at www.cmhc.ca/housingmarketinformation or call 1-800-668-2642.

1 MLS® is a registered trademark of the Canadian Real Estate Association.

Contact Information

  • Canada Mortgage and Housing Corporation - Vancouver CMA
    Robyn Adamache
    (604) 737-4144
    radamach@cmhc.ca

    Canada Mortgage and Housing Corporation - Abbotsford CMA
    Richard Sam
    (604) 737-4089
    rsam@cmhc.ca
    www.cmhc.ca