Housing starts in British Columbia will trend higher over the next two years, totalling 26,900 units in 2011 and 29,000 units in 2012, Canada Mortgage and Housing Corporation forecasts in its Housing Market Outlook, released today. CMHC also expects the existing home market to stabilize in 2011, then strengthen in 2012.
A stable existing home market, combined with positive economic factors, support the conclusion that the residential construction outlook will continue to be balanced, providing opportunities for both developers and home buyers,” noted Carol Frketich, CMHC’s B.C. regional economist.
“Mortgage loan interest rates which will remain low by historic standards, together with stable employment and strong population growth, will support the resale and new home markets in 2011 and 2012,” she added. CMHC said resales are expected to remain in line with job and population growth, approaching 81,000 sales in 2011 and 88,900 sales in 2012, slightly above their ten-year average.