Ontario Housing Activity to Fuel Renovations

TORONTO — Ontario’s renovation spending is set for additional growth, according to Canada Mortgage and Housing Corporation’s (CMHC) latest Housing Market Insight report.
Current estimates suggest that the average homeowner equity in Ontario has grown by 14 per cent since 2012. Most of this growth in home equity is concentrated among aging households. When rising prices boost home equity, households feel wealthier and thus are encouraged to invest in their homes.
Here are some highlights:

• Ontario home renovation spending represents a growing share of the province’s economy;
• Higher end alteration and improvement projects make up the bulk of spending;
• Aging households are behind much of the spending in recent years with more spending to come;
• Vibrant resale market, aging rental and ownership stock and growing home equity wealth will support Ontario’s renovation market; and,
• Southwestern Ontario has the biggest potential for growth, while the GTA has the least.