BC Housing Boom Continuing

The increasing number of people relocating to British Columbia is generating demand for housing and driving new and existing home prices higher, CMHCs regional economist Carol Frketich said today.

Growth in the population is one factor behind the increase in new home construction. The number of housing starts in British Columbia will reach 33,600 units in 2005, the highest level since 1994. "Home owners can expect to see an increase in home equity in 2005 as this migration trend continues, while those in the market for a home will see increased competition," added Frketich. CMHC forecasts the average B.C. resale price will rise 7 per cent this year, topping $310,000.

The impact of population growth is being felt around the province. While international migrants tend to locate in the larger urban centres like Vancouver, other Canadians are relocating to a variety of locations around the province. Housing starts and average area prices are up in most areas of the province.