Canadian Funding Corp. Reviews CMHC Statistics

With a gradually strengthening job market and still favourable financing conditions, the housing market situation in the Sherbrooke census
metropolitan area (CMA) will be somewhat different this year1. After having stagnated in 2009, existing home sales registered through the Multiple Listing Service (MLS)® will rise by 4 per cent next year. Housing starts, for their part, will fall by 14 per cent in 2010. This decline will result from the level of housing activity in 2009, and not from the deterioration of economic conditions.

Employment to increase slightly in 2010 In 2009, the Sherbrooke area was spared by the slowdown in economic activity that affected all industrialized countries. During the first six months of the year, the average number of jobs2 in the area declined by 2 per cent, with losses registered in both part-time and full-time employment. However, the situation improved somewhat from July to September, as the number of jobs rose by 1.5 per cent. While this rise was entirely attributable to the gains recorded in part-time employment, full-time job losses are moderating more and more, suggesting that increases could occur shortly. Thanks to this renewed economic activity, the Sherbrooke CMA will end the year with 83,000 jobs, or the same level as in 2008.

Housing starts: After a slow start in 2009, housing starts will become stronger by the end of 2009 and average 141,900 units. In 2010, starts will increase to approximately 164,900 units.  The strong pace of resales reflects, in part, activity that was delayed in the previous two quarters of 2009 and is likely not to be sustained. MLS® resales will be about 441,300 units for 2009, up from 433,990 units in 2008.

Posted by Moishe Alexander

The Government of Canada announced today that the Rural Municipality of Hanover, has been approved for an infrastructure loan as part of Canada’s Economic Action Plan.

The announcement was made by the Honourable Vic Toews, President of the Treasury Board, on behalf of the Honourable Diane Finley, Minister of Human Resources and Skills Development Canada and Minister Responsible for Canada Mortgage and Housing Corporation (CMHC), and Reeve Stan Toews, elected head of the Rural Municipality of Hanover.

The Rural Municipality of Hanover has been approved for a $3,000,000 low-cost loan from CMHC’s Municipal Infrastructure Lending Program (MILP), for the construction of a new wastewater treatment facility for the community of Mitchell. The new facility has been designed to allow the community’s population to grow to 4,000 persons.

“Our Government understands the importance of infrastructure in maintaining strong and prosperous communities,” said Minister Toews. “This program is opening the door for municipalities of all sizes to meet their housing-related infrastructure needs and create jobs. It’s good news not only for Hanover, but also for Manitoba.”

Canada’s Economic Action Plan provides up to $2 billion in direct low-cost loans to municipalities, over two years, for housing-related infrastructure projects through the MILP. These low cost loans can also be used by municipalities to fund their contribution for cost-shared federal infrastructure programming.

“The Rural Municipality of Hanover is pleased to secure low interest long-term funding from the Federal Government through Canada Mortgage and Housing Corporation to assist the community of Mitchell in the construction of their new lagoon”, Reeve Stan Toews said. “This facility will allow the community to see substantial growth over the next two decades and provides an interest rate that will result in the community saving approximately $500,000 over the next 15 years in interest costs.”

Eligible projects include infrastructure related to housing services such as water, power generation and waste services, as well as local transportation infrastructure within and into residential areas, such as roads, sidewalks, lighting and green space.

As Canada’s national housing agency, CMHC draws on more than 60 years of experience to help Canadians access a variety of quality, environmentally sustainable, and affordable homes — homes that will continue to create vibrant and healthy communities and cities across the country.