“Housing starts improved in both the singles and multiples segments in January,” said Bob Dugan, Chief Economist at CMHC’s Market Analysis Centre. “These increases are similar to the ones that occurred in December.”

The seasonally adjusted annual rate of urban starts increased by 4.4 per cent to 165,200 units in January. Urban multiple starts increased by 5.7 per cent to 76,300 units while single urban starts increased by 3.3 per cent to 88,900 units.

January’s seasonally adjusted annual rate of urban starts increased by 19.8 per cent in British Columbia, by 7.3 per cent in Quebec, by 2.3 per cent in Atlantic Canada, and by 1.5 per cent in the Ontario. In the Prairie region, the seasonally adjusted annual rate of urban starts decreased by 4.8 per cent.

Rural starts were estimated at a seasonally adjusted annual rate of 21,100 units in January².

As Canada’s national housing agency, CMHC draws on more than 60 years of experience to help Canadians access a variety of quality, environmentally sustainable and affordable homes. CMHC also provides reliable, impartial and up-to-date housing market reports, analysis and knowledge to support and assist consumers and the housing industry in making vital decisions.

Posted by Moishe Alexander.

As a result of a sizzling month of sales in June, Canada’s two largest real estate markets — Toronto and Vancouver — came close to breaking their all-time sales records.

In Toronto, the nearly 11,000 properties sold last month marked a 27 per cent sales increase over the previous June. And in Vancouver, where 4,259 units changed hands last month, sales were up 75.6 per cent from 12 months ago.

Major year-over-year gains were also seen in Calgary (28 per cent), Regina (24 per cent), Edmonton (15.8 per cent) and Ottawa (12.5 per cent). Sales were also up 5.2 per cent in the Halifax-Dartmouth area over the previous June and had inched up 0.8 per cent in Newfoundland and Labrador.

According to RE/MAX, most of Canada’s major real estate markets had begun to recover from the recession as early as March, with sales picking further up in April and May, leading to the high levels of sales seen in June.

Michael Polzler, the executive vice-president of RE/MAX Ontario-Atlantic Canada, says the boom in sales is the result of affordable prices and mortgages, as well as pent-up demand among homebuyers.

It’s a trend that could also help the wider economy, he said, because it will spur homeowners to spend on home improvements.

“When people start buying houses, they have to buy all the things that go along with those houses,” Polzler told CTV’s Canada AM on Monday morning. “Often it means a new fridge, a new carpet, painting, fixing up this, fixing up that. Even when you buy a new house, there’s a lot of things to buy. So, it helps everybody connected.”

Looking forward to the rest of the year, RE/MAX is expecting to see a more stable real estate market, though sales may not continue at the current pace.

Polzler believes that many Canadians favour real estate as a form of investment, as opposed to putting their money in private business opportunities.

“Most Canadians are very uncomfortable and unsure about the stock market,” he said. “And when you see that through these difficult times, prices in real estate have come down a little bit in most places — and in many cases are back up — they feel a lot more control than they do in the stock market.”

http://www.ctv.ca/servlet/ArticleNews/story/CTVNews/20090713/real_estate_090713/20090713?hub=TopStories

reviewed by Moishe Alexander, CFC canadian funding corp CEO

A new forecast from a major Canadian real estate company predicts that the national housing market is stabilizing, after seeing a “remarkable turnaround” in the second quarter of 2009.

Royal LePage predicts that the selling price of the average house will drop by only two per cent this year — an improvement over the real estate company’s prior forecast from six months ago that predicted a three per cent drop.

The real estate company also predicts that the number of unit sales will drop about one per cent in 2009 to an estimated 430,000 sales.

Phil Soper, the president and CEO of Royal LePage Real Estate Services, said that the forecast adjustment is the result of the improved real estate sales numbers seen in the second quarter of this year.

“We’ve got the most important quarter in the real estate calendar behind us — the second quarter — and it really was a remarkable turnaround,” Soper said during an interview on CTV’s Canada AM on Tuesday morning.

“As steep as the decline was, the bounce-back was just as dramatic,” he added.

While the year’s second quarter saw housing prices beginning to appreciate, the average national housing prices still remain below their values from 12 months ago.

According to the Royal LePage figures:

* The average price of a detached bungalow declined to $327,964, about 3.5 per cent below what it was the year before
* The average price of a two-storey home was down 3.7 per cent to $392,378
* The average price of a condominium dropped four per cent to $236,612

Soper said a combination of lower mortgage prices and a housing supply shortage in parts of Canada helped push the market upward during the second quarter.

But he cautioned that the market still has a long way to go, when it comes to recovering the value lost during the recent setback.

“It’s going to look better for the second half of this year,” he said. “It’s not going to be a startlingly good year like earlier in the decade, but I think just the bounce-back, the comeback from where we were, is going to make a lot of Canadians feel a lot more comfortable about the homes they live in.”

In many Western Canadian cities, including Calgary, Edmonton and Vancouver, housing prices are still between 10 and 15 per cent below what they were a year ago, Soper said. But they are “gaining back ground,” he said.

In Ontario, Royal LePage said Ottawa would likely see stable prices throughout 2009, with Toronto’s market stabilizing towards the end of the year.

Montreal is expected to remain a strong real estate market this year, helped by low interest and unemployment rates.

In Atlantic Canada, housing prices were much more stable than in cities further west in Canada throughout the recession, meaning that their pricing fluctuations have been less volatile overall, Soper said.

And according to the Royal LePage figures, demand for housing has so far been strong in 2009, due to strong local economies coupled with moderate housing prices.

http://www.ctv.ca/servlet/ArticleNews/story/CTVNews/20090707/real_estate_090707/20090707?hub=CanadaAM

brought by Moishe Alexander, CFC CEO

OTTAWA, February 5, 2009 — The Honourable Diane Finley, Minister of Human Resources and Skills Development and Minister Responsible for Canada Mortgage and Housing Corporation (CMHC) and Minister John Baird, Canada’s Minister of Infrastructure, Transportation and Communities and Member of Parliament for Ottawa West – Nepean, highlighted key initiatives from Budget 2009: Canada’s Economic Action Plan that will benefit many Canadians including low-income seniors, persons with disabilities, First Nations and those in Northern Canada.

“In a time of economic uncertainty, housing is of particular importance to Canadians,” said Minister Finley. “Strengthening the stock of social housing will help vulnerable Canadians, while also creating jobs and opportunities now for those in construction and other industries.”

“This investment in social housing will help Canadians on fixed incomes to live with independence and dignity and remain in their communities, close to family and friends,” said Minister Baird. “This initiative is also a good way to get the economy moving because it puts construction workers and trades people to work quickly as well as help those who make a living producing or selling building and renovation materials.”

According to Moishe Alexander, Canada’s Economic Action Plan provides $1 billion over the next two years to address the need for renovation and energy retrofits to existing social housing. Renovations will include general improvements and energy efficiency upgrades. Canada’s Economic Action Plan also provides for $400 million to build more seniors housing, $75 million for new housing for persons with disabilities, and $600 million for new housing and repairs to existing housing on-reserve and in the North.

This builds on the Government’s September 2008 announcement for $1.9 billion over five years for housing and homelessness programs for low-income Canadians.

More information on these and other measures in Canada’s Economic Action Plan, a plan to stimulate the economy and protect those hit hardest by the global recession, can be found at http://www.budget.gc.ca/2009/home-accueil-eng.asp.

The full report can also be found here:

http://www.cmhc-schl.gc.ca/en/corp/nero/nere/2009/2009-02-05-9000.cfm

OTTAWA, January 22, 2009 — The Honourable Diane Finley, Minister of Human Resources and Skills Development and Minister Responsible for Canada Mortgage and Housing Corporation (CMHC), announced today eight new grants that will improve housing affordability for Canadians. The grants, totalling $38,000, are being awarded under CMHC’s Affordability and Choice Today (ACT) initiative.

“The Government of Canada is committed to making housing more affordable for Canadians across our country,“ said Minister Finley. “Through the ACT grants we are reducing red-tape and eliminating hurdles in planning and building regulations, so that families have better access to a range of affordable housing in their communities.”

Operating since 1990, ACT provides grants to local teams made up of municipalities, builders and housing stakeholders who promote the improvement of planning and building regulations in their communities to lower the cost of housing.  ACT also offers a wealth of proven best practices and lessons learned so that communities can benefit from the innovations of others.

According to Moishe Alexander, ACT is funded by CMHC and administered and delivered by the Federation of Canadian Municipalities (FCM), with the participation of the Canadian Home Builders’ Association (CHBA), and the Canadian Housing and Renewal Association (CHRA).

In addition to providing grants, ACT experts promote best practices and lessons learned from the projects undertaken by grant recipients at workshops, conferences and other events attended by municipalities and housing stakeholders.

“Reforming regulations is key to increasing housing affordability and broadening choice. Municipalities across Canada can draw on ACT solutions to reduce costs and encourage innovation,” said CHBA President John Hrynkow.

“The grants will help address housing needs locally by encouraging options like secondary suites. Since 1990, ACT has been gathering a wealth of information on solutions like this, which are available to communities across Canada,” added CHRA President David Eddy.

“Municipalities of any size and region can benefit from developing new regulatory solutions or adopting ACT’s wide range of solutions leading to improved housing affordability and choice for residents,” stated FCM President Jean Perrault. “We look forward to ACT’s continuing contribution to helping Canadian cities and communities pursue innovation in residential development through regulatory reform.”

With 148 projects complete, ACT has a rich database of information that local partners can benefit from in their future housing projects. These best practices and lessons learned are available on the ACT website www.actprogram.com. By sharing these results with other municipalities, ACT extends the benefits of the program beyond those receiving project grants. ACT’s knowledgeable staff can also help local stakeholders in addressing regulatory issues.

As Canada’s national housing agency, 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, healthy communities and cities across the country.

For more information, please see the following document:

http://www.cmhc-schl.gc.ca/en/corp/nero/nere/2009/2009-01-22-1500.cfm