CMHC forecasts sharp decrease in Ontario housing starts in 2009
Ontario housing starts will show a sharp decrease this year, according to the latest forecast from the Canada Mortgage and Housing Corp.
In 2008, there were 75,076 starts in the province, but that number is expected to fall to 51,325 this year and improve to 52,300 in 2010.
CMHC says factors behind the decline include the current economic climate and increased competition from the existing home market. Read more HERE
Thursday, June 18, 2009
Wednesday, June 17, 2009
Affordable Housing in Ontario Gets a $1.2 Billion Boost
TORONTO, Ontario, June 09, 2009 — The Government of Canada and the Province of Ontario are partnering on a joint investment to build new and renovate existing affordable housing. This investment will help create jobs, strengthen the economy, and improve the quality of life for residents of Ontario.
Both levels of government officially signed an amendment to the Canada – Ontario Affordable Housing Program Agreement, resulting in a joint investment of more than $1.2 billion over the next two years.
The Honourable Diane Finley, Minister of Human Resources and Skills Development Canada and Minister Responsible for Canada Mortgage and Housing Corporation (CMHC) and the Honourable Jim Watson, Ontario Minister of Municipal Affairs and Housing, made the announcement today.
“This government is working hard to support Canadians during these challenging economic times, and we are moving aggressively to ensure Canada’s Economic Action Plan is implemented rapidly,” said Minister Finley. “We are helping the most vulnerable, including seniors and persons with disabilities, access suitable, affordable housing, as well as making needed renovations to existing social housing both in Ontario and across Canada.”
“The McGuinty government is pleased to be working with our federal partners to increase the supply of affordable housing,” said Minister Watson. “This investment will stimulate our economy while improving access to safe, healthy and affordable housing. For many people, living on fixed or low incomes, these programs are their opportunity to get a place to call home.”
Today’s announcement includes federal funding of $535 million over two years under Canada’s Economic Action Plan as part of a one-time investment of more than $2 billion to build new and renovate existing social housing in Canada. The Province will also contribute $535 million for these initiatives, over the next two years. Posted by Moishe Alexander. Read more HERE
Both levels of government officially signed an amendment to the Canada – Ontario Affordable Housing Program Agreement, resulting in a joint investment of more than $1.2 billion over the next two years.
The Honourable Diane Finley, Minister of Human Resources and Skills Development Canada and Minister Responsible for Canada Mortgage and Housing Corporation (CMHC) and the Honourable Jim Watson, Ontario Minister of Municipal Affairs and Housing, made the announcement today.
“This government is working hard to support Canadians during these challenging economic times, and we are moving aggressively to ensure Canada’s Economic Action Plan is implemented rapidly,” said Minister Finley. “We are helping the most vulnerable, including seniors and persons with disabilities, access suitable, affordable housing, as well as making needed renovations to existing social housing both in Ontario and across Canada.”
“The McGuinty government is pleased to be working with our federal partners to increase the supply of affordable housing,” said Minister Watson. “This investment will stimulate our economy while improving access to safe, healthy and affordable housing. For many people, living on fixed or low incomes, these programs are their opportunity to get a place to call home.”
Today’s announcement includes federal funding of $535 million over two years under Canada’s Economic Action Plan as part of a one-time investment of more than $2 billion to build new and renovate existing social housing in Canada. The Province will also contribute $535 million for these initiatives, over the next two years. Posted by Moishe Alexander. Read more HERE
CMHC cuts housing forecast as permits rise
Canada Mortgage and Housing Corp. has reduced its forecast for 2009 amid slowing economic growth in Ontario.
"Clearly, economic growth in Ontario is slowing and that will have an impact," CMHC Ontario regional economist Ted Tsiakopoulos said in an interview yesterday. "All factors suggest this will translate into a slower period of housing demand."
Ontario housing starts were forecast to hit 74,500 at the end of this year and slide to 65,000 units next year. That number has been revised down to 62,000. Existing home sales, projected at 187,000 sales this year, is forecast to be 173,000 for 2009. The original forecast was for 178,000 sales.
"Housing starts have been moving above demographic trends in recent years and this situation is expected to be reversed," CMHC stated in a housing outlook report.
Meanwhile, Canadian municipalities issued $6.5 billion in building permits in September, up 13.4 per cent from the month before, according to figures released by Statistics Canada yesterday.
The increase comes on the heels of a 11.7 per cent decline in August and is attributable to gains in the non-residential sector, particularly medical and educational buildings in Ontario and Saskatchewan, the government agency said.
The value of residential permits fell for a second month in a row, the result of fewer permits issued for multi-family dwellings such as condominiums.
"It is clear that the housing sector remains under pressure and it is non-residential activity that continues to prop up building activity," Charmaine Buskas, senior economics strategist at TD Securities stated in an economic note. "As Canada's economy continues to unwind, that too, will start to give way to weaker activity.
More from Moishe Alexander click here
"Clearly, economic growth in Ontario is slowing and that will have an impact," CMHC Ontario regional economist Ted Tsiakopoulos said in an interview yesterday. "All factors suggest this will translate into a slower period of housing demand."
Ontario housing starts were forecast to hit 74,500 at the end of this year and slide to 65,000 units next year. That number has been revised down to 62,000. Existing home sales, projected at 187,000 sales this year, is forecast to be 173,000 for 2009. The original forecast was for 178,000 sales.
"Housing starts have been moving above demographic trends in recent years and this situation is expected to be reversed," CMHC stated in a housing outlook report.
Meanwhile, Canadian municipalities issued $6.5 billion in building permits in September, up 13.4 per cent from the month before, according to figures released by Statistics Canada yesterday.
The increase comes on the heels of a 11.7 per cent decline in August and is attributable to gains in the non-residential sector, particularly medical and educational buildings in Ontario and Saskatchewan, the government agency said.
The value of residential permits fell for a second month in a row, the result of fewer permits issued for multi-family dwellings such as condominiums.
"It is clear that the housing sector remains under pressure and it is non-residential activity that continues to prop up building activity," Charmaine Buskas, senior economics strategist at TD Securities stated in an economic note. "As Canada's economy continues to unwind, that too, will start to give way to weaker activity.
More from Moishe Alexander click here
Moishe Alexander watches CMHC
CMHC forecasts sharp decrease in Ontario housing starts in 2009
OTTAWA
Ontario housing starts will show a sharp decrease this year, according to the latest forecast from the Canada Mortgage and Housing Corp.
In 2008, there were 75,076 starts in the province, but that number is expected to fall to 51,325 this year and improve to 52,300 in 2010.
CMHC says factors behind the decline include the current economic climate and increased competition from the existing home market. View more here
Tuesday, May 19, 2009
Moishe Alexander reviews the TREB report.
In April 2009, Greater Toronto REALTORS® reported 8,107 sales - down seven per cent from April 2008. While April sales remained lower than last year, the housing market gained momentum on a month-over-month basis. This is very good news, notes Moishe Alexander, as shows that trend has changed. The seasonally adjusted annual rate of sales in April, at 80,900, was up 26 per cent from March and up two-thirds compared to January's ten-year low.1 "Conditions in the resale housing market have improved markedly this Spring," according to TREB President Maureen O'Neill. "Home purchases have increased as households have taken advantage of low interest rates and slightly lower home prices." The average price for April transactions was $385,641 - down three per cent from last year.
"The rate of average price decline continued to diminish last month. This is due in large part to a tightening in the resale market," stated Jason Mercer, TREB's Senior Manager of Market Analysis. "The level of sales relative to new listings increased in April."
"The rate of average price decline continued to diminish last month. This is due in large part to a tightening in the resale market," stated Jason Mercer, TREB's Senior Manager of Market Analysis. "The level of sales relative to new listings increased in April."
Thursday, January 15, 2009
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