Consumer Confidence

Statistics below compiled from the (CREA) Canadian Real Estate Association.

Consumer confidence in Ontario rebounded strongly in the third quarter of 2008 compared to the previous quarter – its lowest level in over a decade. Despite the rebound, consumer confidence remains slightly below levels recorded in recent years.

The recovery in confidence in the third quarter stemmed from a rebound in households’ budgetary outlook, and improving sentiment about making major purchases and prospects for job growth.

Households’ balance of sentiment about their budgetary outlook was strongly positive in the third quarter, after having nearly gone into negative territory during the previous quarter.

Households’ balance of opinion about making big-ticket purchases remained negative in the third quarter of 2008, but improved significantly compared to the previous quarter, when it hit the second lowest point on record. A negative balance of opinion means more households said it was a bad time to buy a big-ticket item, such as a home or car, than said it was a good time to do so. This indicator is an important factor underlying the housing market.

Household’s outlook for job growth prospects also improved in the third quarter following its decline to the most downbeat level since the mid 1990s the previous quarter. Uncertainty about job security in manufacturing industries continues to weigh on households’ outlook for job growth.

The information contained in this report has been prepared by The Canadian Real Estate Association, in co-operation with the Muskoka & Haliburton Association of REALTORS®. The information has been drawn from sources deemed to be reliable, but the accuracy and completeness of the information is not guaranteed. In providing this information, neither The Canadian Real Estate Association nor the Muskoka & Haliburton Association of REALTORS® assumes any responsibility or liability. Copyright© 2008 The Canadian Real Estate Association. All rights reserved. Reproduction in whole or in part is prohibited without written permission.