Canada Mortgage and Housing Corporation

Canada Mortgage and Housing Corporation

August 31, 2010 07:48 ET

Housing Starts to Show Positive Growth in 2010

HALIFAX, NOVA SCOTIA--(Marketwire - Aug. 31, 2010) - According to Canada Mortgage and Housing Corporation's (CMHC's) latest outlook, the level of housing activity is forecast to rise close to seven per cent in 2010 compared to what occurred in 2009, with the economy showing moderate growth overall.

The economic and housing data has certainly been supportive to achieving positive growth so far in 2010. Along with historically low interest rates, stable income levels and moderate employment growth, the economy of Atlantic Canada has performed better than forecast during the first half of 2010. "Compared to the early part of the year, the pace of growth for both the economy and housing is expected to slow over the second half of 2010," said Alex MacDonald, regional economist, with CMHC's Atlantic Business Centre.

Overall, single housing starts will show growth of close to nine per cent in 2010 as the economy in Atlantic Canada continues to build momentum. Low vacancy rates and demographic trends related to an aging population will continue to contribute to positive growth for multiple starts, which are expected to rise close to five per cent in 2010.

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. 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.

The Housing Market Outlook, Atlantic Region Highlights report is available on the CMHC Web site:  http://www.cmhc-schl.gc.ca

Atlantic Housing Market Outlook(1)
Total Housing Starts 2009
Actual
2010
Forecast
2011
Forecast
New Brunswick 3,522 3,700 3,650
Forecast Ranges   3,400-3,875 3,300-3,900
Nova Scotia 3,438 3,950 3,950
Forecast Ranges   3,550-4,100 3,550-4,250
Prince Edward Island 877 700 695
Forecast Ranges   650-750 600-735
Newfoundland and Labrador 3,057 3,350 3,150
Forecast Ranges   2,975-3,500 2,675-3,350
Atlantic Region Total 10,894 11,700 11,445
Forecast Ranges   10,575-12,225 10,125-12,235

 

 
Atlantic Housing Market Outlook(1)
Total MLS® Sales(2) 2009
Actual
2010
Forecast
2011
Forecast
New Brunswick 7,000 6,750 6,675
Forecast Ranges   6,500-7,250 6,250-7,000
Nova Scotia 9,925 10,300 10,400
Forecast Ranges   9,450-10,750 9,600-10,850
Prince Edward Island 1,415 1,300 1,200
Forecast Ranges   1,225-1,350 1,125-1,250
Newfoundland and Labrador 4,416 4,500 4,550
Forecast Ranges   4,000-4,750 4,150-4,900
Atlantic Region Total 22,756 22,850 22,825
Forecast Ranges   21,175-24,100 21,125-24,000
 

SOURCE: CMHC Housing Market Outlook, Atlantic Highlights, Third Quarter 2010.

(1) The forecasts included in the Housing Market Outlook are based on information available as of July 30th 2010. Where applicable, forecast ranges are also presented in order to reflect economic uncertainty.

(2) The term MLS® stands for Multiple Listing Service and is a registered trademark of the Canadian Real Estate Association (CREA).(1)

Atlantic Housing Market Outlook(1)
Average  MLS® Price ($)(2) 2009
Actual
2010
Forecast
2011
Forecast
New Brunswick $155,100 $159,000 $161,350
Forecast Ranges   155,000-163,500 159,000-163,750
Nova Scotia $196,300 $209,500 $213,500
Forecast Ranges   203,000-215,000 210,000-216,500
Prince Edward Island $147,000 $146,800 $148,250
Forecast Ranges   142,000-150,000 145,500-150,000
Newfoundland and Labrador $206,375 $233,125 $238,000
Forecast Ranges   229,000-235,000 235,000-242,500
Atlantic Region Total $182,515 $195,668 $199,703
Forecast Ranges   $189,648-$199,808 $196,388-$202,959

SOURCE: CMHC Housing Market Outlook, Atlantic Highlights, Third Quarter 2010.

(1) The forecasts included in the Housing Market Outlook are based on information available as of July 30th. Where applicable, forecast ranges are also presented in order to reflect economic uncertainty.

(2) The term MLS® stands for Multiple Listing Service and is a registered trademark of the Canadian Real Estate Association (CREA).(1)

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