Housing Demand Set to Moderate After Growing in Early 2012

TORONTO, ONTARIO--(Marketwire - June 14, 2012) - Ontario housing activity is set to moderate from early 2012 year levels according to the 2012 Second Quarter CMHC Housing Market Outlook - Canada Edition released today. Housing starts are expected to ease to 65,200 units in 2013 after growing to 73,700 units in 2012. Ontario housing starts will range between 58,400 and 80,100 units this year and next.

"Ontario housing activity entered 2012 with momentum and will likely succumb to the slowing growth profile registered in the Ontario job market over the past year," said Ted Tsiakopoulos, CMHC`s Ontario Regional Economist. "However, home sales and housing prices should remain steady in 2013 thanks to low interest rates and support from an ongoing recovery in the US economy", added Tsiakopoulos.

MLS^® sales are expected to range between 184,700 to 224,500 transactions this year and in 2013, Ontario home prices will grow at a slower rate in 2013 as markets move to a more balanced state.

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.

To view the tables associated with this press release, please visit the following link: http://media3.marketwire.com/docs/ON0611N.pdf.