The announcement was made by the Honourable Diane Finley, Minister of Human Resources and Skills Development and Minister Responsible for Canada Mortgage and Housing Corporation (CMHC).

Haldimand County has been approved for almost $7 million in low-cost loans from CMHC’s Municipal Infrastructure Lending Program (MILP). These loans will be used to expand wastewater treatment plants in Cayuga and Hagersville in order to improve wastewater treatment for the residents of these communities. For the residents of Caledonia and Dunnville, the loans will be used to replace undersized water mains, which will improve water quality, pressure and reliability.

“Our government understands the importance of infrastructure in maintaining strong and prosperous communities,” said Minister Finley. “We’re opening the door for municipalities of all sizes to meet their housing-related infrastructure needs. Canada’s Economic Action Plan is creating jobs and stimulating the economy right here in Haldimand County.”

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. Municipal infrastructure loans are available to any municipality in Canada and provide a new source of funds for municipalities to invest in housing-related infrastructure projects. These low-cost loans can also be used by municipalities to fund their contribution for cost-shared federal infrastructure programming.

“Haldimand County is pleased to have our application approved through CMHC’s Municipal Infrastructure Lending Program,” said Mayor Marie Trainer. “This low-cost loan will allow us to pursue projects that will enhance our community, create jobs in a cost-effective manner and help prepare Haldimand County for future growth and prosperity.”

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.

Posted by Moishe Alexander, the CEO of Canadian Funding Corp.

The announcement was made in Montréal, at Maison Jean-Brillant, by Senator Claude Carignan, on behalf of the Honourable Diane Finley, Minister of Human Resources and Skills Development and Minister Responsible for Canada Mortgage and Housing Corporation (CMHC), in the company of Richard McConomy, Chair of the Board of Directors, Maison Bieler inc.

“Through Canada’s Economic Action Plan, our government is taking action to help ensure our economic recovery and create the conditions for long-term growth,” said Senator Claude Carignan. “Funding renovation and retrofit projects, like these ones, will not only improve the quality of life of the residents by keeping their homes safe and affordable but also help stimulate the economy and create jobs.”

The Government of Canada, through Canada’s Economic Action Plan,  announced $1 billion for social housing renovation and retrofit. Of the $1 billion, $850 million is being delivered by Provinces and Territories on a cost-matched basis for existing federally assisted social housing projects that they administer on behalf of the partnership. The remaining $150 million is being delivered by CMHC for existing federally assisted off-reserve housing that it directly administers. Repairs that are eligible for funding include general improvements, energy-efficiency upgrades or conversions, and modifications in support of persons with disabilities.

As of February 1, 2010, CMHC is accepting applications from eligible project sponsors for the remaining $75 million funding for Phase II of Canada’s Economic Action Plan. Sponsor groups can apply online or through the mail. Eligible repairs include general improvements, energy-efficiency upgrades or conversions, and modifications in support of persons with disabilities.

The housing co-operatives that will receive contributions from the Government of Canada being announced today are listed in the attached backgrounder.

“The financial contribution of $259,893 provided under the federal renovation and retrofit initiative administered by CMHC will benefit the residents of Maison Jean-Brillant,” said Richard McConomy, Chair of the Board of Directors, Maison Bieler inc. “In fact, these funds will serve to renovate the elevator systems to ensure the safety of the residents. We are very pleased to have received this funding, which will help improve the quality of life and safety of our residents.”

Posted by Moishe Alexander, the CEO of Canadian Fundiing Corp.

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.

Canadian Funding Corporation cites that after exceeding 11,000 units for five successive years from 2002 to 2007, total housing starts across the Edmonton Census Metropolitan Area (CMA) declined by nearly 56 per cent in 2008. Housing starts across Metro are forecast to decline by 51 per cent this year to 3,250 units. Last year, single-detached house builders bore the brunt of the downturn as the industry struggled to contain the rise in spec home inventories. In contrast, most of the decline this year will occur in multi-family where inventories continue to mount. A weakened economy impacted by job losses, rising unemployment and slower immigration will account for the continued downward adjustment this year. In 2010, a gradual turnaround in the economy of the Capital region will result in a 26 per cent improvement in housing starts to 4,100 units.

However, next year’s output will represent less than 40 per cent of homes built on average during the 1999 to 2008 period which represents the strongest decade for housing starts on record across Greater Edmonton. Stronger economic growth, higher gains from migration, and a return to balanced conditions in the resale and new home markets will be needed prior to total annual starts rebounding to the longer term average of between 6,000 to 7,000 units.

Single-Detached Starts to Improve in 2010

Single-detached home builders across Metro Edmonton started 2,613 units in 2008, representing a 66 per cent drop from the previous year and the weakest performance since 1995. Activity to the end of March suggests that 2009′s production will fail to match 2008. Nonetheless, downward trends in the new home inventory combined with the lowest number of units under construction in March since 2002 sets the table for a modest turnaround at some point in 2009. CMHC’s view is that year-over-year improvements will occur during the second half 2009 but will not arrive in time to lift this year’s numbers above 2008 levels. Single starts in 2009 will decline another 24 per cent to 2,000 units before improving to near the 2,600 unit mark in 2010. While representing a healthy 30 per cent gain over the current year, 2010′s outlook represents about one-third the number of homes started annually between 1999 and 2008.

The turning point in single starts should occur this year provided certain conditions are in place. Total supply, which is units in inventory plus those under construction, began to decline in the first quarter of 2008 and continues to move lower in 2009 due to the major slowdown in construction that began in earnest in the fall of 2007. New house inventory stood at a record level in August 2008 but has generally been receding since then. These trends will need to be sustained in the coming months so that house builders feel confident this fall that inventory replenishment is justified to prepare them for the important spring selling season.

Economic Growth Returns in 2010

The downturn in the energy sector will impact growth across the Capital region this year and into 2010. Edmonton remains Alberta’s fore- most supply, service and staging area for the energy sector. With a substantial number of drilling rigs expected to sit idle this year, the impacts of this slowdown will be widespread. Lower global oil prices will reduce the output from the manufacturing sector, particularly the area’s petroleum upgraders and refineries. The construction sector will also be held back by low levels of residential activity and a slowdown in
non-residential activity as well. A number of large-scale energy-related projects slated for the Alberta Industrial Heartland area have been scaled back or put on hold until the business climate improves.

The Canadian Funding Corporation Reports:

OTTAWA, April 8, 2009 — The seasonally adjusted annual rate of housing starts increased to 154,700 units in March from 136,100 units in February, according to Canada Mortgage and Housing Corporation (CMHC).

“Higher multiple starts in Ontario and Quebec were the main contributors to the rise in new construction activity in March,” said Bob Dugan, Chief Economist at CMHC’s Market Analysis Centre. “While the multiples segment experienced the largest increase, the overall boost in starts was broad based, encompassing the singles segment as well.”

Moishe Alexander, of the Canadian Funding Corp noted that the seasonally adjusted annual rate of urban starts increased 17 per cent to 127,900 units in March. Urban multiple starts increased 28.3 per cent to 81,500 units, while urban single starts moved up by 1.3 per cent to 46,400 units in March.

March’s seasonally adjusted annual rate of urban starts increased by 35 per cent in Ontario and by 23.3 per cent in Quebec. Urban starts declined by 17.3 per cent in British Columbia, by 7.9 per cent in Atlantic Canada, and by 7.5 per cent in the Prairies.

Rural starts were estimated at a seasonally adjusted annual rate of 26,800 units in March.

New home construction is now at a more sustainable level after having been exceptionally strong over the past 7 years, exceeding 200,000 units per year.

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.

For more information, please see:

http://www.cmhc-schl.gc.ca/en/corp/nero/nere/2009/2009-04-08-0815.cfm

Likewise, the majority of renter households that intend to buy are between 25 and 44 years of age (46 per cent).

A large share of intenders will be repeat buyers

More than half (57 per cent) of purchase intenders will be repeat buyers. Indeed, buying intenders’ main motivation for purchasing a residence was the need for a larger/better residence (33 per cent). The second most popular response was to change from renting/build equity or to have a residence of their own (26 per cent).

The majority of purchase intenders that are first time buyers are between the ages of 25 and 34, with a household income between $40,000 to just under $60,000. As for repeat buyers who intend to purchase a home in 2008, the majority are between the ages of 35 and 44, with a household income over $100,000.

Close to half of intenders will plan to make a down payment of more than 20 per cent Close to half of households that intend to buy a home are planning to make a down payment of more than 20 per cent of the expected value of their purchase. The main source of down payment funds are household savings for 40 per cent of potential home buyers, while equity from the present/previous residence is also a popular option with 30 per cent.

The gap between the proportion of renters and owners intending to purchase a home in 2008 has narrowed compared to intentions reported in 2007. The majority of purchase intenders (53 per cent) are renter households compared to 60 per cent in 2007. In Montreal, close to two-thirds of households intending to purchase a home currently rent, while in Vancouver only 44 per cent of purchase intenders are renter households.

In five of the ten markets surveyed, households were asked more detailed questions regarding their purchasing intentions. Thus, the remainder of purchase intention results cover only the five centres listed: Halifax, Montréal,  Toronto, Calgary, and Vancouver.

A larger share of households intend to buy single-detached homes and the majority intend to purchase a larger residence Among households who intend to buy a home in 2008, the largest share plan to buy a single-detached home (55 per cent). Also, a majority of intenders (67 per cent) plan to buy an existing home.

Just over a quarter of households who intend to purchase a home plan to purchase a condominium unit. Of those who intend to purchase a condominium, the majority are between the ages of 18 and 24 years. Vancouver has the largest proportion of condominium purchase intenders at 41 per cent this year.

The majority of households who intend to purchase a home plan to purchase a larger home (57 per cent) compared to their current residence, 20 per cent of households intend to purchase a smaller home, and 20 per cent intend to purchase a similar sized home compared to their current residence.

Renovation intentions are highest among owners of older homes. Fifty-one per cent of households living in homes built before 1920 intend to renovate in 2008.

In fact, households living in homes built prior to 1945 had the highest incidence of actual renovations in 2007, with 48 per cent of households renovating. Of those who intend to renovate in 2008, the older the home the higher the proportion of households performing maintenance and repairs. On the other hand, the younger the home the higher the proportion of households performing alterations and improvements.

A large portion of households intend to renovate so as to update, add value, or prepare to sell their home, according to CFC CEO, Moishe Alexander.

Across the five major centres, 67 per cent of households who intend to renovate this year, will do so to update, add value, or prepare to sell their home.

Twenty-one per cent of households intend to renovate this year because their dwelling needs repairs, while 19 per cent say that it needs maintenance.

Renovation intenders in Toronto plan to spend the most on renovations

When asked what the household expected to spend on their renovations, the average estimate across the five centres was $12,880. Households in Toronto expected to pay the most on average ($14,920), while households in Halifax expected to pay the least on average ($8,200).

Spending intentions on renovations were, on average, underestimated, in 2007 by $1,000. Households surveyed in 2007 expected to spend an average of $11,270, while in actuality spent an average of over $12,800 on renovations for 2007.

Toronto homeowners underestimated their renovations, on average, by over $4,000, while those in Vancouver were off by only $800.

Of those households who intend to renovate in 2008, more than half (55 per cent) had very high confidence that they would be renovating this year. Out of these households with high or very high probability of renovating this year, 2 out of 5 households intend to do some form of maintenance and repairs, while more than three quarters will undertake alterations and improvements, similar proportions to actual renovations completed in 2007.

Regionally, the share of households planning on undertaking maintenance and repairs was the highest in Halifax (48 per cent), while the share for alterations and improvements in Calgary was the highest at 85 per cent.

Only 13 per cent of households who intend to renovate felt that there was a low chance that they would start the work in 2008.