TORONTO, ONTARIO--(Marketwired - Oct. 26, 2015) - Housing starts in the Kitchener-Cambridge-Waterloo (KCW) Census Metropolitan Area (CMA) will decline to 2,615 units in 2016 and then be relatively stable in 2017, according to the Canada Mortgage and Housing Corporation's (CMHC) Fall Housing Market Outlook report, released today. In addition, apartment starts will decline further from near record levels in 2014, while single-detached starts will trend higher.
Existing home sales are forecast to increase in 2016 and remain relatively unchanged in 2017. The resale market is expected to be balanced in KCW, with price growth above two per cent. The apartment vacancy rate is predicted to increase slightly in both 2015 and 2016, primarily due to an increase in the supply of rental housing.
"Housing starts will be trending down closer to the long-term rate of household formation next year. Rising employment will support housing demand. With prices higher and mortgage rates starting to edge up in late 2016, demand will stabilize in 2017," said Erica McLerie, CMHC Senior Market Analyst.
As Canada's authority on housing, CMHC contributes to the stability of the housing market and financial system, provides support for Canadians in housing need, and offers objective housing research and information to Canadian governments, consumers and the housing industry.
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 CMHC Housing Market Information.
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Contact Information:
Angelina Ritacco
416-218-3320
aritacco@cmhc.ca