…according to Shaun Hildebrand, Canada Mortgage and Housing Corporation’s (CMHC) senior market analyst for Toronto.
CMHC presented its latest forecast for the GTA today at the annual CMHC Housing Outlook Conference held earlier this month.
This year’s conference, entitled ‘How does Toronto measure up?’ had market analysts use local data to answer questions and address concerns they hear from housing-industry professionals.
“The GTA housing market will adjust down in the coming months but can be expected to regain some momentum in the second half of 2013,” said Hildebrand. “Stable fundamentals and a greater level of selection in the condo market will help first-time buying improve while demand from repeat buyers holds steady.”
Highlights from the onference include:
- The recent slowing in demand for new homes will bring housing construction back in line with demographics in 2013.
- Continued strength in rental market conditions will continue to provide support for the condo market.
- Relatively more affordable options across all markets will outperform next year due to reduced affordability for first-time buyers and slower home equity gains for repeat buyers.
As well, the outlook for smaller Ontario cities remains positive.
“Larger urban Ontario centres have been capturing a growing share of housing activity in recent years. A gradual shift in housing activity is expected as smaller urban housing markets hold up relatively better in 2013,” said Ted Tsiakopoulos, CMHC’s Ontario Regional Economist. “Housing markets in Windsor, Thunder Bay, Sudbury and London will outperform thanks to an ongoing U.S. economic recovery, relatively more affordable housing and residential construction that is better in line with household formation.”