The Agency is excited to present some cautious predictions about rental and co-op housing markets in 2023. We commissioned this report on housing market outlooks from respected housing analyst Will Dunning.
Although he is careful to note that current data are hard to come by and much can change quickly, his comments may be helpful to thoughtful co-op managers and boards of directors looking ahead to 2023 and 2024.
While you should read the whole report, here are a sampling of his observations:
- Rents have risen much more quickly over the past year than in 2020 and 2021, as society shakes off the weight of COVID-19.
- Jobs will be lost as the housing market stalls and consumers rethink their spending patterns.
- While vacancies at the high end of the housing market will not affect co-operatives, more members may struggle to pay their housing charges.
Will Dunning stresses that much may change over the months to come, depending on how the Bank of Canada responds to evidence of a slowing economy. However, in the current period of relative calm, Agency clients should do all they can to collect arrears and fill their units. Prediction is difficult, especially about the future (thank you, Nostradamus), but it’s always good to be prepared.