Wednesday, November 14, 2012

CMHC USA predictions for 2013

- North American economy has been in neutral but will switch into DRIVE in mid-2013
- USA consumers are starting to spend
- USA economy will drive the world economy again, especially in 2014
- China was growing at 10%, now down to 7.5%
- Emerging countries still need resources (China, Brazil, India, etc)
- USA equity markets are improving
- every 1% growth in the USA economy translates to a 6% growth in employment in Southern Ontario
- USA household debt is low
- Credit is loosening in USA
- 150,000 new jobs created in the USA
- USA housing is starting to increase in value
- there is now 5.9 months supply in the USA housing market (lowest since pre-2007)
- big issue facing the USA is the Fiscal Cliff
- distressed sales are 35% of the USA market, down from 50%
- USA banks are staggering foreclosures to keep housing prices rising
- Shadow inventory is not a big concern going forward

*** USA is approaching pre-recession car buying numbers (for volume)
This is an indicator of the coming housing boom, as people are starting to purchase big ticket items again

1 comment:

  1. These indications of the housing boom, a very good news to many housing companies like, CT homes for sale. Good thing that we have excellent companies to provide good quality of housing.