Stable forecast for the BC housing market

British Columbia housing markets are expected to post an unremarkable 2012. While the inventory of homes for sale will continue to wane in most regions, consumer demand will nevertheless be constrained by modest economic growth at home and abroad.

The resulting lukewarm performance in the job market will keep unemployment rates relatively high and while uncertainty around European sovereign debt will keep bond markets buoyant and mortgage rates low, the negative impact on consumer confidence will be sustained.

As a result, residential sales are expected to hover their 15-year average of 79,000 units this year and in 2013. BC homes sales are forecast to increase 2.7 per cent to 80,500 units in 2013.