9 January 2014
Such gains could be even larger in case of Toronto. Royal LePage predicts price growth of 3.9% this year (after 5.1% in 2013), caused by a shortage of low-rise homes in this region.
In the same time, the situation with the new home construction is not so optimistic. As you know, Canadian housing starts showed a decline at the end of 2013. And this trend is expected to continue in 2014, as affordability and a condo construction decrease still affect the sales.
In Soper’s opinion, interest rates will probably remain unchanged.
Nevertheless, the most intriguing Royal LePage’sforecast is that aggressive government intervention, such as mortgage rules tightening, which knocked many buyers off the market, will hardly occur in 2014. This is a very bold statement, however we hope it come true!