Canada’s Mortgage and Housing Corporation, CMHC, released their report on housing starts (the number of new homes starting construction) for the area containing Kitchener Waterloo, Cambridge, Woolwich and North Dumfries, Ontario. Housing starts are up:
Housing Starts for Kitchener Waterloo Real Estate
Construction began on 168 homes, up from the 103 units started in the same month last year. This was the fifth consecutive month with starts higher than a year ago.
Foundations were poured for 92 single-detached homes in February, up from the 45 units started in February 2009. Townhome starts decreased to 18 units, down from 37 units last February. There were 24 rental apartment units started in February, up from the 19 apartment starts a year ago.. All municipalities in the CMA, except Cambridge, recorded higher starts in February.
“New home sales outpaced starts through most of 2009 which will support starts activity in 2010,” said Edgard Navarrete, Market Analyst for the Kitchener CMA. “A tight resale home market (see Market Update- Real Estate selling fast in Kitchener Waterloo and Tight Real Estate Market in Kitchener Waterloo) and low interest rates (see Interest rate updates from a mortgage broker) have encouraged home buyers to consider the new home market. Any increase in demand for new homes must be met by new construction, as new home inventories are low,” added Navarrete
Many of our clients have been investing in new construction homes recently; there are some good deals out there, and some of the builders are offering incentives to purchase.
Here are some more detailed stats from CMHC
If you’re interested in more information, or to see what type of cash flow you can generate from a new investment property, contact me at Benjamin@BenjaminBach.com or call me at 519 772 4376
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