Canada’s National Housing Agency Forecasts A 20% Jump For Home Prices - Better Dwelling
Canada’s national housing agency is forecasting things are going to get worse in the next few years. The CMHC’s latest forecast expects a booming population and lower rates driving housing demand. As a result of the surging activity, existing home prices are expected to rise over the next couple of years. Despite soaring demand and prices, along with their helicopter money to stimulate development, they actually see annual new home starts falling over this period.Canadian Home Prices Forecast To Surge 20% Over 2 YearsThe CMHC sees existing home prices ripping higher as interest rates are cut. By the end of this year, they expect the average sale price to rise to $711,429—advancing 4.9% from last year. Explosive growth is forecast for 2025 (+9.5%), seen moderating in 2026 (+4.6%). Their baseline forecast has the average existing home fetching $814,851 by 2026, or 20% higher than last year. Most of the activity is forecast to occur in smaller, more affordable cities.Canadian Real Estate...