Renovation spending across 10 major centres up by $1.6 billion in 2008



    OTTAWA, June 5 /CNW Telbec/ - An estimated 1.7 million households in 10
major Canadian centres surveyed indicated they completed renovations last year
that cost an average of approximately $12,600, according to the Renovation and
Home Purchase Survey released today by Canada Mortgage and Housing Corporation
(CMHC).
    "Close to $21.3 billion was spent on renovations in 2008 across the 10
major centres surveyed, an increase of about $1.6 billion compared to 2007,"
said Bob Dugan, Chief Economist at CMHC. "As well, when Canadian homeowners
were asked about their renovation plans for this year, 46 per cent indicated
that they intend to spend $1,000 or more by the end of 2009."
    The Renovation and Home Purchase Survey reports on actual renovation
expenditures made in the previous year, as well as intentions to buy or
renovate a home in 2009 in the following 10 major centres: St. John's,
Halifax, Québec City, Montréal, Ottawa, Toronto, Winnipeg, Calgary, Edmonton,
and Vancouver.(1) The survey provides timely information on renovation market
trends.
    Close to half of households surveyed reported that the cost of
renovations undertaken in 2008 was in line with what they had budgeted, while
38 per cent said that they went over their planned budget for the renovation.
A quarter of households that undertook a renovation project hired a contractor
for a portion of the work. 'Do-it-yourselfers' accounted for 30 per cent of
renovators in 2008. However, many households (44 per cent) chose to contract
out the entire renovation project.
    The main reason given by households for renovating in 2008 was to update,
add value or to prepare to sell (55 per cent). Thirty-per-cent of respondents
stated that the main reason for renovating was that their home needed repairs.
The top three renovations completed last year were: painting or wallpapering
(28 per cent); remodelling rooms (27 per cent); hard surface flooring and
wall-to-wall carpeting (27 per cent).
    Of the 10 major centres surveyed, the percentage of households that spent
$1,000 or more on renovations in 2008 was highest in St. John's at 43 per
cent, followed by Winnipeg at 42 per cent and Ottawa at 41 per cent. The
centre with the lowest proportion of households that undertook renovations was
Québec City at 32 per cent.
    Similarly, renovation intentions for 2009 across the 10 major centres are
strongest in St. John's and Ottawa, where 56 and 54 per cent of consumers,
respectively, indicated they plan to undertake renovations costing $1,000 or
more. The proportion of potential renovators is lowest in Québec City at 41
per cent.
    On the home purchasing front, five per cent of households across the 10
major centres surveyed intend to purchase a home that will be used as a
primary residence in 2009. Forty-nine per cent of households that stated they
intend to purchase a home in 2009 are first-time buyers. This percentage is
significantly higher than the share (36 per cent) of actual first-time
homebuyers in 2008. The majority of first-time buyers are between the ages of
25 and 34.
    Home buying intentions are strongest in Calgary and Edmonton where six
per cent of households reported that they are considering buying a home this
year, down from eight and seven per cent, respectively, in 2008. Purchase
intentions are the lowest in Halifax and Montréal at four per cent.
    As Canada's national housing agency, Canada Mortgage and Housing
Corporation (CMHC) draws on over 60 years of experience to help Canadians
access a variety of quality, environmentally sustainable, and affordable homes
- homes that will continue to create vibrant and healthy communities and
cities across the country.
    For more information, visit www.cmhc.ca or call 1 800 668-2642.

    
    (1) All 10 centres were asked whether they intend to spend more than
        $ 1,000 on renovations in 2009 and whether they intend to buy a home
        in 2009. More detailed questions on intentions to buy or renovate
        were asked in Halifax, Montréal, Toronto, Calgary, and Vancouver.
    

    To obtain the free electronic version of the Major Market Highlights
report or the detailed data table reports for the individual centres or all
centres combined, visit the CMHC website at:

    English:
    https://www03.cmhc-schl.gc.ca/b2c/b2c/init.do?language=en

    French:
    https://www03.cmhc-schl.gc.ca/b2c/b2c/init.do?language=fr

    
    RENOVATION AND HOME PURCHASE SURVEY
    -------------------------------------------------------------------------
               Renovation and home buying activity    Intentions to buy and
                                                             renovate
               -------------------------------------------------------------
               Households  Households   Households   Households   Households
              that bought        that   that spent  that intend  that intend
                   a home   renovated     $1000 or     to buy a     to spend
                                           more on         home     $1000 or
                                       renovations                   more on
                                                                 renovations

                (per cent)  (per cent)   (per cent)   (per cent)   (per cent)
               --------------------------------------------------------------
               2007  2008  2007  2008   2007  2008   2008  2009   2008  2009
    -------------------------------------------------------------------------
    St. John's   10     6    42    48     35    43      6     5     48    56
    -------------------------------------------------------------------------
    Halifax       9     6    43    45     35    40      6     4     46    53
    -------------------------------------------------------------------------
    Québec        7     6    35    37     28    32      4     5     35    41
    -------------------------------------------------------------------------
    Montréal      5     6    37    39     31    33      5     4     36    42
    -------------------------------------------------------------------------
    Ottawa        8     6    40    46     34    41      7     5     41    54
    -------------------------------------------------------------------------
    Toronto       7     5    36    39     31    36      6     5     41    45
    -------------------------------------------------------------------------
    Winnipeg      8     7    44    47     36    42      6     5     50    53
    -------------------------------------------------------------------------
    Calgary      10     7    35    38     30    33      8     6     41    46
    -------------------------------------------------------------------------
    Edmonton     10     8    38    43     33    38      7     6     45    53
    -------------------------------------------------------------------------
    Vancouver     8     6    36    38     30    33      5     5     38    46
    -------------------------------------------------------------------------
    Total         7     6    37    40     31    35      6     5     40    46
    -------------------------------------------------------------------------
    




For further information:

For further information: Kristen Scheel, (613) 748-2799,
kscheel@cmhc-schl.gc.ca; This release is also available on the CMHC Web site:
http://www.cmhc-schl.gc.ca; For regional information contact: St. John's:
Chris Janes, CMHC, (709) 772-2403, cjanes@cmhc-schl.gc.ca; Halifax: Matthew
Gilmore, CMHC, (902) 426-4686, mgilmore@cmhc-schl.gc.ca; Québec: Marie-Elaine
Denis, CMHC, (418) 649-8100, medenis@cmhc-schl.gc.ca; Montréal: Bertrand
Recher, CMHC, (514) 283-2758, brecher@cmhc-schl.gc.ca; Ottawa: Sandra Perez
Torres, CMHC, (613) 748-5120, sperezto@cmhc-schl.gc.ca; Toronto: Shaun
Hildebrand, CMHC, (416) 218-3466, shildebr@cmhc-schl.gc.ca; Winnipeg: Jeff
Powell, CMHC, (204) 983-5693, jpowell@cmhc-schl.gc.ca; Edmonton: Richard
Goatcher, CMHC, (780) 423-8729, rgoatche@cmhc-schl.gc.ca; Calgary: Lai Sing
Louie, CMHC, (403) 515-2991, llouie@cmhc-schl.gc.ca; Vancouver: Travis
Archibald, CMHC, (604) 737-4062, tarchiba@cmhc-schl.gc.ca; (Ce document existe
également en français)


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