Real Estate  

Housing market begins to build

Kelowna housing starts and home sales are forecasted to move higher in 2014, according to the Canada Mortgage and Housing Corporation (CMHC).

Their 2013 spring outlook forecasts 1,000 homes in 2013 and 1,100 homes in 2014, with both single-detached homes and multiple-family starts expected to increase this year and next. In 2012 there were only 836 starts.

“Stronger employment growth coupled with low mortgage interest rates will support increased demand for housing in Kelowna,” explains CMHC Market Analyst Paul Fabri.

“Declining inventories of new, completed and unoccupied homes will also contribute to higher levels of new home construction.”

Home sales are forecast to remain stable through this year, and increase by 11 per cent in 2014.

CMHC says buyers will continue to benefit from an ample supply of listings and price competition among sellers.

Existing home prices are forecast to stabilize this year and begin to edge higher in 2014 as demand picks up and the supply of homes available for sale is slowly drawn down.

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