CMHC Reports Key Factors and Their Effects on Housing Starts

OTTAWA — In their Third Quarter 2012 Housing Market Report, CMHC reported nine key factors affecting housing starts, including: historically low mortgage rates; employment forecast expected to grow by 1.3 per cent in 2012 and 2.1 per cent in 2013; modest economic growth in Canada and global markets, translating to a slow growth in income; increased immigration; an ageing population and low birth rate will impact the type of housing demand; a balanced resale market; stable vacancy rates; stability in the stock of new housing units; changes to government-backed mortgage insurance, which will help to ensure the sustainability of housing market activity and help stabilize house price growth. The complete report is available at www.cmhc.ca.