Ottawa Housing Market to Remain Balanced

OTTAWA, ONTARIO--(Marketwired - Oct. 26, 2015) - Canada Mortgage and Housing Corporation (CMHC) released its Fall Housing Market Outlook report for Ottawa CMA today. Total housing starts will rise from 4,935 units in 2015 to 5,120 units in 2016 driven mainly by an increase in row home starts. Condominium starts will rise gradually over the forecast horizon, but remain below recent peaks as current inventories are drawn down.

MLS^® sales are expected to continue to rise in 2016, and balanced market conditions will prevail. Higher growth in sales compared to listings will push up the average price in line with inflation.

Better economic conditions will mean increased rental demand causing the vacancy rate to decrease in 2016. Further improvement in employment and earnings in 2017 will pressure the vacancy rate down further.

"Steady housing demand is expected in Ottawa in 2016 as employment and earnings improve. Low mortgage rates and modest price growth will continue to support demand this year and next, but stronger price growth and a rise in mortgage rates will pressure homeownership demand much more so in 2017," said Anne-Marie Shaker, CMHC 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.

Follow CMHC on Twitter @CMHC_ca

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