Vacancy Rates Mixed Across Newfoundland

ST. JOHN'S, NEWFOUNDLAND AND LABRADOR--(Marketwire - June 12, 2012) - According to Canada Mortgage and Housing Corporation's (CMHC) Spring Rental Market Survey, the overall vacancy rate in Newfoundland increased to 2.7 per cent in April 2012 from 2.1 per cent a year ago.

The St. John's rental market vacancy rate was 3.3 per cent in April compared to two per cent in April 2011. "While higher home prices and a strong economy supported rental market demand during the survey period, other offsetting factors, including low mortgage rates and strong income growth, shifted demand from renter households to home ownership and contributed to the increase in the vacancy rate throughout the St. John's area," said Chris Janes, senior market analyst with CMHC in Newfoundland and Labrador.

Provincially, vacancy rates in percentage terms were 0.9 in Gander, 1.3 in Corner Brook and 1.8 in Grand Falls-Windsor. The combined provincial vacancy rate for all centres surveyed increased from 2.1 to 2.7 per cent.

Overall, the average two bedroom rent was $727 across the urban centres surveyed, with increases recorded in every centre. The highest average two bedroom rent recorded was $808 in the St. John's area. The remaining average two bedroom rents were $596 in Corner Brook, $568 in Gander and $649 in Grand Falls-Windsor.

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 CMHC Housing Market Information.

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