Economic activity expected to spur home starts in St. Thomas region
The London, Ont. and St. Thomas, Ont. home building industry is looking at better times ahead.
While affordability challenges remain, stabilizing interest rates and new economic opportunities are expected to help turn things around.
“Yeah we’ve seen a slow down in starts, we’ve seen a slowdown in clients coming and asking,” said Robert Adzija, a representative for John Roberts Signature Homes. “It’s nice that the last two or three weeks we’ve seen a little more interest.”
Adzija could be found at the St. Thomas Home Show Sunday, trying to generate interest in custom build homes as the spring and summer construction season approaches.
London couple Alex and Linda Nedeljkovic took in the home show, being held at the Joe Thornton Community Centre.
They say they’re thinking about having a home built, but they’re not about to rush in to anything.
“Actually a few months now, kinda just been looking on the market and seeing what’s available and kind of pricing out homes, and seeing what’s out there,” said Linda.
“What would have been a manageable mortgage is now substantial, so you’re going to have to weigh out your options of pricing,” added Alex.
Jared Zaifman, the CEO of the London Home Builders Association, told CTV News a perfect storm of factors caused a major slowdown in the sale of new builds, including rising interest rates.
“Interest rates really, the continuous hikes had a really big impact on the industry for a long time,” he explained. “And that is the biggest thing that we’ve been sharing with our federal partners in Ottawa. And honestly, glad to see interest rates starting to stabilize.”
Just as rising interest rates and a number of other factors caused a slowdown in the home building industry, economic activity on the horizon in this region is expected to get the machines humming once again, and the shovels in the ground.
Chief among that economic activity is the Volkswagon EV battery plant being built in St. Thomas, and expected to come on stream in 2027.
St. Thomas Mayor Joe Preston said the thousands of builders and contractors working to build the plant will need somewhere to live.
“We need a lot more than just single family homes,” said Preston. “There will be markets, there isn’t an empty one sitting around, people are buying those too. But we need market-rent apartments, high density, a number of rental apartments in St. Thomas, and these builders have to help us with that too.”
CTVNews.ca Top Stories
Flights divert around western Iran as one report claims explosions heard near Isfahan
Commercial flights began diverting their routes early Friday morning over western Iran without explanation as one semiofficial news agency in the Islamic Republic claimed there had been 'explosions' heard over the city of Isfahan.
American millionaire Jonathan Lehrer denied bail after being charged with killing Canadian couple
American millionaire Jonathan Lehrer, one of two men charged in the killings of a Canadian couple in Dominica, has been denied bail.
Nearly half of China's major cities are sinking, researchers say
Nearly half of China's major cities are suffering 'moderate to severe' levels of subsidence, putting millions at risk of flooding especially as sea levels rise.
Prince Harry formally confirms he is now a U.S. resident
Prince Harry, the son of King Charles III and fifth in line to the British throne, has formally confirmed he is now a U.S. resident.
Judge says 'no evidence fully supports' murder case against Umar Zameer as jury starts deliberations
The judge presiding over the trial of a man accused of fatally running over a Toronto police officer is telling jurors the possible verdicts they may reach based on the evidence in the case.
Health Canada to change sperm donor screening rules for men who have sex with men
Health Canada will change its longstanding policy restricting gay and bisexual men from donating to sperm banks in Canada, CTV News has learned. The federal health agency has adopted a revised directive removing the ban on gay, bisexual and other men who have sex with men, effective May 8.
Colin Jost names one celebrity who is great at hosting 'Saturday Night Live'
Colin Jost, who co-anchors Saturday Night Live's 'Weekend Update,' revealed who he thinks is one of the best hosts on the show.
Sports columnist apologizes for 'oafish' comments directed at Caitlin Clark. The controversy isn't over
A male columnist has apologized for a cringeworthy moment during former University of Iowa superstar and college basketball's highest scorer Caitlin Clark's first news conference as an Indiana Fever player.
'Shopaholic' author Sophie Kinsella reveals brain cancer diagnosis
Sophie Kinsella, the best-selling author behind the 'Shopaholic' book series, has revealed that she is receiving treatment for brain cancer.