Canada Mortgage and Housing Corporation

Canada Mortgage and Housing Corporation

May 20, 2010 17:44 ET

Sudbury Resale Market to Improve in 2010

SUDBURY, ONTARIO--(Marketwire - May 20, 2010) - Sudbury's resale market is stabilizing after a period of weakness in 2009, according to Canada Mortgage and Housing Corporation. CMHC released this information today in its latest Housing Market Outlook report for the Sudbury Census Metropolitan Area (CMA). Reports are also available for other major metropolitan centres across the country. 

Highlights of this report include:

  • Existing home sales will grow and reach 1,990 and 2,100 units this year and next year respectively as prospects for strong labour market recovery offset the slight decline in homeownership affordability.
  • Expect average MLS® price growth of 5.5 per cent this year. In 2011, the rate of change in prices will slow as new listings outpace sales.
  • Housing starts will decline 18 per cent in 2010 before increasing next year as the local economic recovery gains traction.
  • Sudbury's total employment will increase by 1.3 per cent in 2011, as gains in service sector employment are expected to offset weaknesses in the goods-producing sector.

"Low interest rates, continued in-migration and some pent-up demand will support housing demand through the first half of 2010," stated Warren Philp, CMHC Northern Ontario Market Analyst. "Many homebuyers have brought their home purchases forward in 2010 anticipating higher mortgage rates later this year and into 2011."

Trends in the Sudbury CMA housing market generally mirror expectations for the rest of the province.

"Higher mortgage carrying costs, increasing supply pressures and declining first time buyer demand will temper Ontario housing activity later this year and into 2011," said Ted Tsiakopoulos, CMHC's Ontario regional economist. "This transition in housing activity should be orderly thanks to improving job markets, historically low interest rates and further gains in household incomes," added Tsiakopoulos.

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.

For more information, visit www.cmhc.ca or call 1-800-668-2642.

Aussi disponible en francais.

Contact Information

  • Sudbury:
    Canada Mortgage and Housing Corporation
    Warren Philp
    (807) 343-2016
    wphilp@cmhc.ca
    or
    En francais:
    Canada Mortgage and Housing Corporation
    Sandra Perez Torres
    (613) 748-5120
    sperezto@schl.ca
    or
    Ontario:
    Canada Mortgage and Housing Corporation
    Ted Tsiakopoulos
    (416) 218-3407
    ttsiakop@cmhc.ca
    or
    Canada:
    Canada Mortgage and Housing Corporation
    Charles Sauriol
    (613) 748-2799
    csauriol@cmhc.ca
    www.cmhc.ca