Did You Know…?

• Canada’s housing industry is booming, and the numbers prove it. Housing starts in 2002 were close to 205,000. This is the highest since 1989, up significantly from the 162,700 starts in 2001 or the annual average of 137,000 during the years 1995 to 2000. Canada Mortgage and Housing Corporation (CMHC) forecasts that 2003 will be almost as busy, with around 200,000 units. The buoyant marketplace is driven by continued low interest rates, strong employment growth, rising disposable incomes and high consumer confidence.

• Homeownership is a key element of financial security for Canadians. 65% of the 12 million households in Canada are homeowners, with close to half of them being mortgage free (Statistics Canada, 2001 data). Most people purchase their first home when they are in their late 20s or early 30s. By age 45, over 70% of households are homeowners.

• An average of 11% of households in five major urban centres across Canada will be in the market to buy a home in 2003, according to a study by Canada Mortgage and Housing Corporation of consumer intentions in Halifax, Montreal, Toronto, Calgary and Vancouver. These households will pay an average of $238,000 for their homes, and almost three in five will have a downpayment of less than 25% of the home’s value.

• New residential construction creates employment, and lots of it. Each new home generates roughly 2.8 person-years of employment. In 2001, this meant 460,000 person-years. These include direct jobs (in construction), indirect jobs (in industries that supply products and services to the housing industry, such as manufacturing, forestry, transportation and financial services) and induced jobs (resulting from the spending of incomes from direct and indirect employment).

• Proposed changes to Canada’s building codes will break new ground in building regulation. While the traditional requirements will still apply, objective-based codes open the door to greater innovation, creative thinking and alternative approaches. Homebuyers will benefit as builders find it easier to use new and improved construction techniques, systems and products.

• What’s in a name? When it comes to the materials and products used to build your new home, it can mean a great deal. Increasingly, professional new home builders are forming business alliances with manufacturers of brand-name products, from insulation to flooring to faucets. For builders, there are many benefits: quality assurance; proper training of their crews in the use of the products by the manufacturers; assistance when needed; and fewer callbacks from customers. For homebuyers, it means that you know what you are getting for your money—value and performance backed by a manufacturer’s warranty!

• There is a wealth of great information about new homes and the home buying process available online.

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