CMHC: Rise in housing starts will keep lid on prices in 2010
The following article from the Financial Post states that a "rise in housing starts will keep lid on prices in 2010".
Article: "Housing starts will rise in 2010, putting a lid on home prices this year following their 19 per cent surge in 2009, the Canada Mortgage and Housing Corporation said Tuesday. Between 152,000 to 189,300 housing starts are expected in 2010, up from 149,081 units last year, the national housing agency said.
Describing the current state of affairs as a sellers' market, CMHC said the relative lack of new listings for existing homes has pushed some of the demand into the new home market, which helps explain the forecast for higher housing starts activity in 2010," CMHC said.
But it added that it expects prices to remain stable in 2010 around the Multiple Listing Service average reached in January this year of $328,537, as the new housing stock brings balance back to the market....(Read More)"
Source: Financial Post