Canada’s real estate industry expects next year to be slower than this year, but still sees massive price growth. Canadian Real Estate Association (CREA), the industry group representing Canada’s Realtors, released their 2021 forecast. They expect next year will see large growth, just not as large as we’ve seen this past year. Ontario is forecasted to lead the country, while B.C. real estate is expected to put a drag on the numbers.
Canadian Real Estate Prices Forecasted To Rise Over 9%
Canadian real estate prices are expected to make a massive increase next year, according to the industry. CREA forecasts an average sale price of $620,404 for 2021, up 9.1% from this year. For 2020, the industry expects the average sale prices to finish 13.1% higher than 2019. In 2019, prices only increased 2.4% at the national level, so these are all humongous prints following. The industry must be hoping for a pandemic every year.
Ontario Real Estate Prices Forecasted To Rise Over 16%
Ontario real estate prices are expected to lead home price gains at the provincial level. CREA forecasts the average sale price will hit $823,656 in 2021, up 16.3% from 2020 levels. The industry expects 2020’s year to finish at $708,377, up 17.1% from last year’s average. In 2019, prices only increased 6.3% from the previous year, so these are very ambitious forecasts. It’s worth mentioning Southern Ontario real estate prices, outside of Toronto, have been responsible for most of the price gains. Toronto suburbs have seen prices grow much faster than the City.
CREA Real Estate Price Forecast
CREA’s forecasted change in average real estate sale prices across Canada, with a breakdown by province.f = forecast. Source: CREA, Better Dwelling.
B.C. Real Estate Prices Forecasted To Remain Flat
British Columbia’s prices are surprisingly not forecasted to move much next year. CREA is forecasting an average price of $780,276 for 2021, up a relatively flat 0.3% from 2020. The association expects 2020 to finish with an average of $778,012, up 10.7% from the previous year. In 2019, the average sale price across BC fell 1.0% from the year before. Not sure what’s behind the volatile forecast, but BC is forecasted to be the worst performing provincial market in Canada. This follows just underperforming in 2020.
Quebec Real Estate Prices Forecasted To Rise Over 13%
Quebec real estate prices are forecasted to be the second fastest rising prices, just after Ontario. CREA is forecasting the average price will reach $407,569 in 2021, up 13.6% from the same month last year. The industry group is forecasting 2020 will finish at an average of $358,754, up 13.3% from last year. In 2019, the average sale price only increased 3.7%, so these expected jumps are very large.
CREA’s forecast is much more optimistic than those shared by less vested interests over the past few weeks. No one was expecting price declines this year, but the end of mortgage payment deferrals are expected to motivate some sellers next year. Banks like RBC, ratings agencies like Fitch, and risk firms like Veritas have all forecasted declines. Although, those less than positive forecasts are a pretty hard sell to the public right now, considering the record real estate sales during a recession.
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HALIFAX – A village of tiny homes is set to open next month in a Halifax suburb, the latest project by the provincial government to address homelessness.
Located in Lower Sackville, N.S., the tiny home community will house up to 34 people when the first 26 units open Nov. 4.
Another 35 people are scheduled to move in when construction on another 29 units should be complete in December, under a partnership between the province, the Halifax Regional Municipality, United Way Halifax, The Shaw Group and Dexter Construction.
The province invested $9.4 million to build the village and will contribute $935,000 annually for operating costs.
Residents have been chosen from a list of people experiencing homelessness maintained by the Affordable Housing Association of Nova Scotia.
They will pay rent that is tied to their income for a unit that is fully furnished with a private bathroom, shower and a kitchen equipped with a cooktop, small fridge and microwave.
The Atlantic Community Shelters Society will also provide support to residents, ranging from counselling and mental health supports to employment and educational services.
This report by The Canadian Press was first published Oct. 24, 2024.
Housing affordability is a key issue in the provincial election campaign in British Columbia, particularly in major centres.
Here are some statistics about housing in B.C. from the Canada Mortgage and Housing Corporation’s 2024 Rental Market Report, issued in January, and the B.C. Real Estate Association’s August 2024 report.
Average residential home price in B.C.: $938,500
Average price in greater Vancouver (2024 year to date): $1,304,438
Average price in greater Victoria (2024 year to date): $979,103
Average price in the Okanagan (2024 year to date): $748,015
Average two-bedroom purpose-built rental in Vancouver: $2,181
Average two-bedroom purpose-built rental in Victoria: $1,839
Average two-bedroom purpose-built rental in Canada: $1,359
Rental vacancy rate in Vancouver: 0.9 per cent
How much more do new renters in Vancouver pay compared with renters who have occupied their home for at least a year: 27 per cent
This report by The Canadian Press was first published Oct. 17, 2024.
VANCOUVER – Voters along the south coast of British Columbia who have not cast their ballots yet will have to contend with heavy rain and high winds from an incoming atmospheric river weather system on election day.
Environment Canada says the weather system will bring prolonged heavy rain to Metro Vancouver, the Sunshine Coast, Fraser Valley, Howe Sound, Whistler and Vancouver Island starting Friday.
The agency says strong winds with gusts up to 80 kilometres an hour will also develop on Saturday — the day thousands are expected to go to the polls across B.C. — in parts of Vancouver Island and Metro Vancouver.
Wednesday was the last day for advance voting, which started on Oct. 10.
More than 180,000 voters cast their votes Wednesday — the most ever on an advance voting day in B.C., beating the record set just days earlier on Oct. 10 of more than 170,000 votes.
Environment Canada says voters in the area of the atmospheric river can expect around 70 millimetres of precipitation generally and up to 100 millimetres along the coastal mountains, while parts of Vancouver Island could see as much as 200 millimetres of rainfall for the weekend.
An atmospheric river system in November 2021 created severe flooding and landslides that at one point severed most rail links between Vancouver’s port and the rest of Canada while inundating communities in the Fraser Valley and B.C. Interior.
This report by The Canadian Press was first published Oct. 17, 2024.
