CREA Updates Resale Housing Forecast
OTTAWA — The Canadian Real Estate Association (CREA) has updated its forecast for home sales activity via the Multiple Listing Service (MLS) Systems of Canadian real estate Boards and Associations for 2015 and 2016.
Since CREA's forecast published in June, the outlook for oil and other natural resource commodities has deteriorated. As a result, the economic and employment backdrop has dimmed for provinces whose prospects rely on their production.
But, the continuation of low interest rates and supportive demographics has resulted in stronger than expected home sales activity in British Columbia and Ontario. These two provinces account for approximately 60% of Canadian housing activity, so stronger than expected trends in these provinces have contributed to an upward revision to CREA's forecast for national sales activity and average prices.