Canada Mortgage and Housing Corporation

Canada Mortgage and Housing Corporation

August 15, 2013 08:15 ET

Ontario Housing Market Activity Will Stabilize

TORONTO, ONTARIO--(Marketwired - Aug. 15, 2013) - Ontario housing activity will regain some momentum later this year and post modest growth into 2014, according to the Third Quarter 2013 CMHC Housing Market Outlook - Canada Edition released today. Ontario housing starts are expected to decline and reach 58,600 units before stabilizing at 59,400 unit starts in 2014. Ontario housing starts will range between 57,000 and 60,200 units in 2013.

"Housing activity will slow in 2013 but post some modest growth by 2014 thanks in large part to an improving Ontario economy, stabilizing affordability conditions and less out-migration to other provinces. Tight resale market conditions for low density housing and improving income growth will allow demand for new single detached homes to hold up better over the forecast horizon," said Ted Tsiakopoulos, CMHC`s Ontario Regional Economist.

Ontario existing home sales have stabilized and will gradually lead the market higher into 2014. MLS® sales will range between 188,400 to 202,400 transactions in 2013. Ontario home prices will grow in line with inflation this year and next.

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.

Follow CMHC on Twitter @CMHC_ca

Graphs are available at the following address: http://media3.marketwire.com/docs/tsa0815.pdf

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