Dec 24, 2010
Canada’s housing market is one of only six housing markets of advanced nations to post growth in 2010. This is according to the newest Global Real Estate Trends report by Scotia Economics.
The report noted, however, that although our housing market was one of the best performing it was also one of the most volatile – as illustrated by Kiyoko Fujimura in her e-story 2010: A Housing Market Odyssey.
Beating out even Canada though was Australia which had the hottest real estate market of the elite group of six countries. Australian home prices rose nearly 10 per cent over the year.
With regard to what’s in store for Canada’s housing market in 2011 the RBC thinks it will be an okay year.
“We are neither overtly optimistic nor pessimistic regarding the outlook for 2011,” said Adrienne Warren, a senior economist with Scotia Economics. “Overall, we anticipate a fairly lacklustre year for residential housing.”
Warren expects interest rates to remain low in 2011 which will keep fueling home purchases. However low employment and income growth is expected to hinder the market.