• Embed Doc
  • Copy Link
  • Readcast
  • Collections
  • 2
    CommentGo Back
Download
 
Newfoundland mortgage rates update
The St. Johns region housing market had another fantastic year in 2007, as MLS sales exceeded 4,000 forthe first time, as reported by CMHC. 2008 is expected to follow this trend The expectation for 2008 is forthis trend to continue, wwith the Newfoundland and Labrador's positive economic situation continuing tosupport solid housing price growth and strong sales activity in the next 2 years.GDP growth for the region is set to slow over the 2008-2009 period to 1.5% and 2.0%respectively, however, this is mainly due to reduced oil production. Employment isforecasted to grow by 1.1 in 2008, as a result of the addition of new energyinvestment activity.Population declines should stop during the year as many Newfoundlanders begin to return from Alberta tosupport new mega project construction activity, especially by 2009.
Newfoundland & Labrador house resale demand should remain high into 2009
Recent oil announcements have helped to bolster the resale market and home buying activity is expectedto continue. Overall, the CMHC believe demand will remain high through to the end of 2008 and into 2009.
Newfoundland & Labrador house prices to grow by 7% in 2008
Although housing sales have been strong in the region for the past 2 years, there has been a large supplyof homes for sale which has kept prices down from December 2005 through to May 2007. However, recentactivity has seen the average price rise to $149,305 in 2007. 2008 and 2009 look favourable, with priceforecast to grow by 7.2 per cent and 6.3 per cent, respectively.
Newfoundland & Labrador key stats
MetricNewfoundland& LabradorCanada
Population
2007
506,30032,568,000Consumer Price Index
Mar'08 (2002 = 100)
113113Average earnings
(Feb'08)
$37,821$40,914Unemployment rate
(Mar'08 )
12.6%6.0%Housing starts
(Mar'08)
3,400243,000
 
AverageResidentialResale Price
(annual %change)
2007 (E)$149,258
7.0%
$306,397*
10.6%
2008 (F)$160,000
7.2%
$322,400*
5.2%
2009 (F)$170,000
6.3%
$334,500*
3.8%
Mortgagesapproved bylenders,residential 2006Charteredbanks$1,552,497,000$152,478,903,000Trustcompanies$82,032,000$6,664,898,000Life andcompaniesother$240,981,000$30,225,144,000Total$1,875,510,000$189,368,945,000
Sources: CMHC, Canadian Real Estate Association, Local Real Estate Boards, Statistics Canada2007 E = estimated by the CMHC* Canada calculation excludes Yukon and Northwest TerritoriesData based on application received dateMortgage approval data are gross and may not fully capture lending activities of credit unions, caisses populaires, other smallerinstitutions and privately-insured loans in some areasQuebec data is understated due to low response rate to the surveys in that province.*Conventional Lending data only
Local Market Indicators
Census MetropolitanAreaTotal HousingStartsMLSsalesMLS averageprice
St. John's20071,480 4,471 $149,2582008 (F)1,650 4,650 $160,0002009 (F)1,700 4,750 $170,000
of 00

Leave a Comment

You must be to leave a comment.
Submit
Characters: ...
edward89

My mortgage company never renewed on Feb.20/2009 . I have poor credit and need a new mortgage company by Mar.20/2009...in Newfoundland. Can you please help me to find a company to mortgage my home.

reply03 / 13 / 2009
alysaally

Its very nice about comparing with best mortgage rates.

reply09 / 27 / 2008
You must be to leave a comment.
Submit
Characters: ...