St. John’s Housing Market Records Stellar Second Quarter

August 8, 2008 · Filed Under St. John's Real Estate 

Released from CMHC today

The St. John’s area housing market recorded a stellar second quarter, thanks to a bustling economy, positive net-migration and stable consumer confidence. These factors combined increased the level of demand for both new and existing homes throughout all municipalities within the region during the April to June period.  Strength in the existing homes market continued, while growth in residential construction activity was led by a surge in starts of single-detached homes. As expected, the positive momentum from last year’s Hebron and White Rose oilfield extension announcements, combined with favourable demographic and economic fundamentals, produced record second quarter results.

Although 2004’s record second quarter housing starts actually exceeded second quarter 2008 levels by 110 starts, demand for new homes from April to June was exceptional within the St.  John’s region. In fact, starts were limited only by builder capacity constraints due to a very tight labour market for skilled trades. In support of this, most new home contracts signed so far this year have been for completion as far as nine to 12 months out and include final price protection clauses for builders. Such high demand boosted residential construction activity throughout the St. John’s region during the second quarter and resulted in double-digit growth.

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One Response to “St. John’s Housing Market Records Stellar Second Quarter”

  1. Buy High Sell Low on August 12th, 2008 6:24 pm

    [...] Stephen Winters, a St. John’s real estate agent with RE/MAX, is reporting that the St. John’s housing [...]

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