National home sales for 2012 and 2013 are projected to remain on par with the 10-year average, as interest rates remain low and further economic and job growth continue to support Canada’s housing market.
National resale housing activity is forecast to reach 458,800 units in 2012, representing an annual increase of 0.3 per cent compared to 457,305 sales in 2011.
What Gregory Klump, CREA’s Chief Economist says:
“CREA’s updated housing market forecast reflects recent & prospective trends for provincial home sales activity coupled with prevailing provincial economic outlooks.”
“Risks to the Canadian economic outlook remain elevated owing to the European sovereign debt quagmire, but the continuation of low interest rates is the silver lining. So long as the European debt crisis is contained and a global economic recession avoided, low interest rates will support Canadian home sales and prices. Recent trends are reassuring, but interest rates remaining low for longer will doubtless keep the Canadian housing market under scrutiny for signs of overheating.”
