Housing Activity to Decline in New Brunswick in 2012

MONCTON, NEW BRUNSWICK--(Marketwire - Nov. 4, 2011) - Total housing starts in New Brunswick's large urban centres are expected to decline in both 2011 and 2012, according to Canada Mortgage and Housing Corporation's (CMHC's) Fall Housing Market Outlook – Saint John, Moncton and Fredericton report.

"For the remainder of this year and again for next year, residential construction in Fredericton, Moncton and Saint John is expected to produce fewer single and multiple starts in response to a reduction in demand for new homes," said Claude Gautreau, CMHC's senior market analyst for New Brunswick. Limited economic growth and lower employment levels will result in reduced housing activity over the forecast period.

In general terms, the existing homes market is expected to follow a similar trend to new home construction over the forecast period. "The relative strength of the resale market in New Brunswick's three large urban areas observed in 2011 is expected to be followed by a moderate reduction in sales and limited price growth next year," continued Gautreau.

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

For more information, visit www.cmhc.ca or call 1-800-668-2642.

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

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