Housing starts to moderate in 2009

    OTTAWA, Oct. 30 /CNW Telbec/ - New home construction will moderate from
historically high levels, to reach just under 178,000 units in 2009, a level
that is consistent with demographic fundamentals, according to Canada Mortgage
and Housing Corporation's (CMHC) fourth quarter Housing Market Outlook, Canada
Edition report.
    "High employment levels, rising incomes and low mortgage rates have
continued to provide a solid foundation for healthy housing markets this
year," said Bob Dugan, Chief Economist for CMHC. "Housing starts will moderate
to 212,200 units in 2008 and 177,975 units in 2009."
    Existing home sales, as measured by the Multiple Listing Service
(MLS(R))(1), which reached a record level of 523,701 sales in 2007, will
moderate in 2008 to 452,225 units. In 2009, MLS(R) sales will move to 433,375
units. Despite a moderation in MLS(R) sales, demand for existing homes will
remain strong by historical standards. With housing markets having become
balanced across Canada, the rate of growth in the average MLS(R) price will
moderate. Average prices will reach $306,500 in 2008 and $306,700 in 2009.

    As Canada's national housing agency, Canada Mortgage and Housing
Corporation (CMHC) draws on more than 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, call 1-800-668-2642.

                           National Housing Outlook

    Key Housing Market Indicators
                                         2007           2008           2009
                                       Actual      Forecasts      Forecasts
    Total housing starts (units)      228,343        212,188        177,975
    Total single-detached houses      118,917         94,263         83,600
    Total multiple housing units      109,426        117,925         94,375
    Total MLS(R) sales(2)             523,701        452,225        433,375
    Average MLS(R) selling price ($)  305,707        306,500        306,700

                         Provincial Housing Outlook

    Total Housing Starts
                                         2007           2008           2009
                                       Actual      Forecasts      Forecasts
    Newfoundland and Labrador           2,649          3,100          2,725
    Prince Edward Island                  750            700            600
    Nova Scotia                         4,750          4,300          3,725
    New Brunswick                       4,242          4,200          3,625
    Quebec                             48,553         47,940         42,000
    Ontario                            68,123         74,450         62,000
    Manitoba                            5,738          5,450          5,200
    Saskatchewan                        6,007          6,500          4,900
    Alberta                            48,336         29,750         24,000
    British Columbia                   39,195         35,800         29,200

SOURCE: CMHC Housing Market Outlook, Canada Edition, Fourth Quarter 2008. ----------------------------- (1) The term MLS(R) stands for Multiple Listing Service and is a registered trademark of the Canadian Real Estate Association (CREA). (2) The term MLS(R) stands for Multiple Listing Service and is a registered trademark of the Canadian Real Estate Association (CREA). Data are for 10 provinces

For further information:

For further information: Julie Girard, CMHC Media Relations, (613)
748-4684, jgirard@cmhc.ca; This release is also available on the CMHC Web
site: http://www.cmhc-schl.gc.ca

Custom Packages

Browse our custom packages or build your own to meet your unique communications needs.

Start today.

CNW Membership

Fill out a CNW membership form or contact us at 1 (877) 269-7890

Learn about CNW services

Request more information about CNW products and services or call us at 1 (877) 269-7890