City's frantic home building pace predicted to slow in '08

水管工

EDMONTON - Edmonton-area housing starts will hit a near-record of 14,550 units in 2007, surpassing Calgary for the first time in 14 years, says a forecast from Canada Mortgage and Housing Corporation, released Tuesday.
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In 2008, Edmonton will return to second place with 12,400 starts.

The mix will continue shifting away from single-family houses toward condominiums.
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Single starts will fall 14 per cent in 2007 and another 14 per cent in 2008 to the lowest level since 2004.

Multiple-unit starts, however, will hit a 25-year high this year, then dip moderately in 2008.
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Edmonton's resale market was busy for the first five months of 2007 but now has slowed and will fall slightly short of the 2006 record of 21,984 sales through the Multiple Listing Service, CMHC predicts.
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"Average price will move sideways at best for the balance of the year, with many vendors forced to reduce their list prices to entice a sale," it says. "This should also discourage new listings in the months ahead, allowing the market to reach a more balanced position in 2008."
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' v0 Q! s$ C% n6 n* u3 _+ _Volumes are expected to fall further in 2008 -- yet CMHC expects Edmonton house prices to rise about $20,000.

0 n1 E& j" C- M4 T# ^"Edmonton's rental market will remain very tight," CMHC announces. "A lack of new rental construction and sustained demand will prevent any improvements in availability and push rents higher."

Two-bedroom apartment rents are forecast to average $1,090 in October, 2008, compared to $950 today.
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Alberta's high prices are making work for Saskatchewan builders and realtors.

"Many residents who have left (Saskatchewan) to Alberta in previous years are now coming home, ending an extended 22-year period of migratory losses," CMHC economist Richard Corriveau says in a news release.

7 E) r% ~) ]- ~! H( n6 jSaskatchewan will have record levels of resales -- at steeply rising prices. "With an expected 29-per-cent increase in average price in 2007, Saskatchewan will overtake Alberta as the country's top performer of resale price growth," CMHC predicts.

rchalmers@thejournal.canwest.com
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© The Edmonton Journal 2007

YOKO

"Edmonton's rental market will remain very tight," CMHC announces. "A lack of new rental construction and sustained demand will prevent any improvements in availability and push rents higher."Two-bedroom apartment rents are forecast to average $1,090 in October, 2008, compared to $950 today.
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WOW, good news too!