Housing market faces recession in 2020, CMHC forecasts

OTTAWA — Canada Mortgage and Housing Corp.’s latest Housing Market Outlook assesses the impact of the COVID-19 pandemic on the economic outlook on the country’s housing markets. CMHC says housing is subject to “considerable risk” given the rapid growth and duration of the pandemic, the speed at which the global economy and financial markets are reacting and what it calls “significant regional disparities in economic impact on housing markets.”

“Canada will experience a historic recession in 2020 with significant declines in all housing indicators,” says the report. “Severe loss in household income and employment, and migration at a standstill, contribute to unprecedented falls in construction activity and sales.

(Full story on CMHC’s forecasts for new and existing housing markets appears in next Monday’s edition of our weekly Hardlines newsletter. Don’t miss the full story. Check out Hardlines for free by clicking here now!

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