OTTAWA
- Increase in Housing Starts (2024):
- Anticipated rise in housing starts, particularly driven by multi-unit housing developments.
- Factors contributing to this increase include declining financing costs, easing inflation, and policies aimed at reducing development costs.
- Expected future growth in construction activity as these factors take effect.
- Modest House Price Growth:
- Projected modest increase in house prices for 2024.
- Gradual decrease in mortgage rates will likely incentivize more buyers to enter the market.
- Vacancy Rate and Rental Market:
- Slight increase in the vacancy rate forecasted due to high levels of rental construction offsetting the growth in the renter population.
- Average rents are expected to rise because of sustained high rental demand.
- Steady Economic Growth:
- Ottawa’s growth driven by a thriving technology sector and increased population from domestic and international migration.
- Major capital projects in the coming years will further boost economic development, potentially exacerbating affordability issues in the region.
- Multi-Unit Construction Growth:
- Expected moderate increase in multi-unit development in 2024, continuing strong over the forecast horizon.
- Contributing factors include easing financing costs, a strong rental market driving rent increases, and new policies encouraging multi-unit and rental structure development.
This summary reflects the expected trends and factors influencing Ottawa’s housing market as projected by the CMHC (CityNews Ottawa) (Ottawa Business Journal) (CMHC).