The Canada Mortgage and Housing Corporation (CMHC) released its Spring Housing Market Outlook report for Greater Sudbury today.
Housing starts in the city are expected to trend slightly lower to 240 units 2015 and then remain relatively stable at 230 units in 2016, CMHC forecasts. A well- supplied resale market will soften demand for new single-detached homes, while multiple-unit starts will decrease due to the high number of homes currently under construction.
Meanwhile, the resale market should become more favourable to buyers in 2015 and 2016, the corporation says. But that means the average price of a resale home is not expected to increase in either year, as the number of homes listed for sale will be more than sufficient to satisfy demand.
Existing home sales will edge lower to 2,050 units in 2015 and 1,980 units in 2016.
"Moderate job growth, primarily in the service sector, and growth in average weekly earnings are expected in 2015 and 2016,” said Aris Gianneskis, CMHC's market analyst for Sudbury. “A slightly lower average resale home price and the continuation of low mortgage rates will make it easier for first-time home buyers to enter into the home ownership market."
