The existing home market in the capital will see higher prices and slower sales in 2015, a senior analyst with Canada Mortgage and Housing Corp told the CMHC Housing Outlook Conference Thursday.
"While balanced market conditions will prevail in Ottawa next year, some dwelling types will stay in the cooler side of the spectrum," Sandra Pérez Torres said in a statement. "Housing starts will moderate in 2015 driven by a decline in apartments. However, in the long run, demographic conditions and affordability will favour smaller dwellings."
The Ottawa conference, dubbed “What Will Drive the Market?”, featured CMHC analysts explaining the trends that will affect the Ottawa market in the coming year.
The conference heard existing home sales will drop due to less demand for condominiums and higher interest rates. While the existing market will cool in 2015 and 2016, starts will start to pick up then, with a shift toward affordable housing. It also heard that the housing market will be supported by continued employment growth in the city.