Canada's housing market seen cooling

A condominium for sale in downtown Calgary. (QMI Agency/STUART DRYDEN)

A condominium for sale in downtown Calgary. (QMI Agency/STUART DRYDEN)

SOLARINA HO, Reuters

, Last Updated: 1:20 PM ET

Canada's robust housing market is expected to soften over the next few months and into 2013, with a slowdown in the pace of housing starts, the Canada Mortgage and Housing Corporation said on Tuesday.

But the government's housing agency also assumes that average 2013 prices will exceed those in 2012, a still-strong performance in a country that never suffered the housing market meltdown seen in the United States.

In its quarterly housing market outlook, CMHC said it expected housing starts of 207,200 this year and 193,100 units in 2013.

Existing home sales will hit 466,600 units this year and climb modestly to 469,600 units in 2013, it said.

The agency said it expected average resale prices to rise to C$377,300 in 2013, up 2.5 percent from C$368,000 in 2012.


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