According to Morguard Corporation, the Greater Saskatoon Area was on pace to outperform this year. Output was forecast to rise 2.3 per cent. Employment was projected to rise 1.5 per cent. The healthy economic fundamentals were expected to boost housing demand and, by extension, a recovery in the new home construction market. By the end of the year, the regional unemployment rate was expected to drop to 6.0 per cent, a three-year low. According to the company’s Economic Outlook and Market Fundamentals report, the recovery phase of Saskatoon’s economic cycle will remain modest over the next couple of years. Real GDP is forecast to advance 1.7 per cent next year and 2.0 per cent the year after. The rate of expansion is enough to support increased employment, retail sales and housing starts.