Main Menu
In the News
Special Contributors
Special Report - Bedding
Events Calendar
Contact HGO
2015 Product Guide
Merchandiser Winter 2015
Merchandiser Fall 2014
Research Store

Canada Counts
A survey of Canadian buying intentions.
Purchase Report


CREA revises forecast upwards PDF Print E-mail
Written by HGO Staff   

OTTAWA (21 JUNE 2012) -- The Canadian Real Estate Association (CREA) has revised its home resale forecast upwards for the balance of 2012 and 2013, crediting the bump to stronger than anticipated sales in Alberta and Saskatchewan, coupled with higher demand in the Greater Toronto Area.

Earlier in the year, CREA's forecast predicted generally stable resale housing market in 2012. The revised forecast reflects a stronger than expected acceleration of sales activity in Alberta and Saskatchewan, a slightly faster than anticipated slowdown in British Columbia, and continued buoyancy in Ontario sales activity-specifically the Greater Toronto market.

The recent increase in new listings on the group's Multiple Listing Service (MLS) hasn't kept pace with stronger than expected demand in Toronto, which has driven up average prices while prompting an upward forecast as a result.

National resale housing activity is now forecast to reach 475,800 units in 2012, up 3.8% from 2011. Sales for 2013 are now forecast to decline by 1.1% to 470,200 units. Ontario is expected to see the largest decline in activity next year, reflecting a return from currently elevated levels.

"National activity over spring months was stronger than anticipated," CREA president Wayne Moen said in a statement. "This shows clearly how the continuation of low interest rates is keeping homeownership affordable and within reach."

CREA had previously forecast sales in 2012 and 2013 that were roughly on par with the 10-year average for annual activity. The updated forecast now predicts activity slightly above the long term average.

The national average home price is now forecast to rise by 2.2% to $370,700 in 2012. This is an upward revision from the previously forecast 1.1% decline.

The national average price is also forecast to rise modestly in 2013, edging up 2% to $378,200.

"CREA's forecast for annual activity this year has been boosted by what's already in the rearview mirror," CREA chief economist Gregory Klump noted. "Activity is still expected to recede, but from a higher level than previously anticipated. The pace for interest rate increases next year is expected to be very slow and gradual, so combined with further job growth, Canada's housing market should remain resilient."

<Previous   Next>



Please, update your HGO profile

BRIGHTON, Ontario – To improve the efficiency of our newsletter delivery service and to bring ourselves in alignment with current Canadian legislation, we need our loyal readers to update their profiles.

If you’re in big ticket home goods, you can’t be without Home Goods Online – the only business-to-business news and information service for those working in Canada’s furniture, mattress, major appliance and consumer electronics industries.

Update Your Profile Now
Picture of the Day
Wayne-Hambly-CM (PD11May15)

Wayne Hambly (left) is seen here with Governor General David Johnston after being invested as a Member of the Order of Canada this past Friday (May 8, 2015). Hambly, owner of Hambly’s BrandSource and chairman of Mega Group was named to the order last July in recognition of his “contributions to the development of the business, voluntary, community and cultural sectors of Prince Edward Island.” Click here for more details. (Photo by Sgt Ronald Duchesne, Rideau Hall.)



Donald Cooper
My Turn!
HGO Merchandiser
Upcoming Events
There are no upcoming events within the search range currently scheduled.
View Full Calendar