New Home Market

“The outlook for the Winnipeg new home market is mixed. While there are several economic and housing market headwinds facing the housing industry at the close of 2008 and into 2009, they are in opposition to a number of positive influences such as record migration and 2008’s impressive rate of full-time job growth. The challenges will cause some sectors of the housing market to back off the growth rates that have become the norm in recent years. However, there will be pockets of strength in 2009 that will overcome the uncertainty facing the economy as a whole.”

 Re-Sale Market

“After six consecutive years of double digit price growth, the resale market in Winnipeg will move to more balanced conditions in 2009. Price growth will  moderate from the pace set in 2008, but will remain buoyed by demographic trends and the relative affordability of Winnipeg’s resale market. Increased listings will also be responsible for the moderation in the growth rate of average MLS® prices, while allowing sales to remain strong. Average MLS® price will reach $200,000 in 2008, an increase of 14.8%. A further four per cent gain in 2009 will push the average resale price to $208,000.”

Information coutesy of CMHC http://www.cmhc-schl.gc.ca

“New home construction will begin to slow in 2008, but remain high by historical standards, according to Canada Mortgage and Housing Corporation’s (CMHC) second quarter ”

Manitoba’s economic growth exceeded the national average in 2007 and job creation rebounded. The Provincial Nominee Program has boosted net migration to levels not seen since 1982. These factors have contributed to healthy levels of new home construction. Total housing starts reached 5,738 units in 2007, the best performance in 20 years. Starts will edge down to 5,450 units in 2008 before rebounding to 5,650 in 2009. The average MLS^®price in Manitoba increased 12.6 per cent in 2007 and will continue to increase at a pace above the national average by 13.5 per cent in 2008 and 7.8 per cent in 2009. Information courtesy of CMHC http://www.cmhc-schl.gc.ca/