Market Overview

Canadian Housing Starts Trend Stable in January

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OTTAWA, Feb. 8, 2018 /CNW/ - The trend in housing starts was 224,865 units in January 2018, compared to 226,346 units in December 2017, according to Canada Mortgage and Housing Corporation (CMHC). This trend measure is a six-month moving average of the monthly seasonally adjusted annual rates (SAAR) of housing starts.

Bob Dugan, Chief Economist, CMHC (CNW Group/Canada Mortgage and Housing Corporation)

"The national trend in housing starts held steady for a third consecutive month in January, remaining near the 10-year high set in December," said Bob Dugan, CMHC's chief economist. "This reflects higher starts of multi-unit dwellings in urban centres in recent months, which has offset lower starts of single-detached homes."

Monthly Highlights

Vancouver
Starts for all home types in the Vancouver CMA trended up in January, reaching a pace nearly double that of the same month last year. There were 2,599 housing starts across the region in January of 2018, as opposed to 1,334 in January of 2017. The North Shore was a particular hotspot for activity this month as a number of condominium and rental multi-family units got underway.

Kelowna
Housing starts in the Kelowna CMA saw an increase in January 2018, totaling 87 units, compared with 51 units in the same month last year. The increase was supported by new rental units getting underway, continuing with the trend seen throughout 2017. New housing construction, particularly for multi-unit dwellings, continues to be supported by strong population growth and a robust labour market. 

Edmonton
Housing starts in the Edmonton CMA have been trending lower since peaking in July of last year. On a month-over-month seasonally-adjusted basis, single-family starts were up 2% in January compared to December while multi-family starts were up 38%. Much of the increase in multi-family construction was due to an increase in the apartment segment where inventory levels remain elevated.

Lethbridge
Total housing starts in Lethbridge increased in the first month of 2018 compared to January 2017 with gains in both the single-detached and multiples segments. However, despite the year-over-year increase, both the trend and the SAAR recorded declines in January compared to the previous month. Declining employment in the region through 2017 has reduced demand for housing and has impacted the pace of new home construction.

Guelph
January 2018 saw the highest number of apartment starts for any January since 1991. Since 2012, the proportion of single-detached and row starts lessened on a year-over-year basis as more apartments were built. Strong starts for apartment units in recent years can be partly attributed to rising costs of homeownership, rising immigration of young professionals to the area, and strong employment.

Toronto
For the second month in a row, housing starts in the Toronto CMA trended slightly lower. An increase in apartment starts partially offset the decline in single-detached housing starts. Increased supply in the resale market has resulted in less demand for new single-detached homes. Meanwhile new condominiums remain in high demand as home buyers flock to relatively lower priced homes, and investors seek to capitalize on low vacancy rates and increasing rents.

Barrie
Total starts trended higher in January, driven primarily by an influx of row unit starts in both the Town of Innisfil and the City of Barrie. Land scarcity in popular areas and affordability concerns have encouraged row unit construction, which saw the highest starts in 2017 since 1999. Strong labour market conditions and population growth remain supportive of the demand for new housing units going into 2018.

Kingston
The trend in Kingston CMA total housing starts has declined slightly for four consecutive months, after having been pulled up by high numbers of rental apartment starts in June 2017. This pullback is likely temporary, since high demand in the resale market and robust demand for rental accommodations point to a need for new supply.

Gatineau
In January, the number of new housing units that got under way was fairly high relative to the last few years, thanks to the construction of many units intended for the condominium market. The stronger housing demand and tighter resale market are therefore continuing to support residential construction in the area.

CMHC uses the trend measure as a complement to the monthly SAAR of housing starts to account for considerable swings in monthly estimates and obtain a more complete picture of Canada's housing market. In some situations analyzing only SAAR data can be misleading, as they are largely driven by the multi-unit segment of the market which can vary significantly from one month to the next.

The standalone monthly SAAR of housing starts for all areas in Canada was 216,210 units in January, essentially unchanged from 216,275 units in December. The SAAR of urban starts increased slightly by 0.2% in January to 198,400 units. Multiple urban starts essentially held steady at 134,685 units in January while single-detached urban starts increased by 0.6% to 63,715 units.

Rural starts were estimated at a seasonally adjusted annual rate of 17,810 units.

Preliminary Housing Starts data are also available in English and French through our website and through CMHC's Housing Market Information Portal. Our analysts are also available to provide further insight into their respective markets.

As Canada's authority on housing, CMHC contributes to the stability of the housing market and financial system, provides support for Canadians in housing need, and offers objective housing research and information to Canadian governments, consumers and the housing industry.

For more information, follow us on Twitter, YouTube, LinkedIn and Facebook.

Additional data is available upon request. 

 


Preliminary Housing Start Data in Centres 10,000 Population and Over


Single-Detached

All Others

Total



January
2017

January
2018

%

January
2017

January
2018

%

January
2017

January
2018

%


Provinces (10,000+) 


N.-L.

23

27

17

19

15

-21

42

42

-

P.E.I.   

12

8

-33

25

4

-84

37

12

-68

N.S.   

69

82

19

154

117

-24

223

199

-11

N.B.   

17

20

18

65

19

-71

82

39

-52

Atlantic

121

137

13

263

155

-41

384

292

-24

Qc

159

174

9

1,245

1,313

5

1,404

1,487

6

Ont.   

1,724

1,385

-20

4,795

4,254

-11

6,519

5,639

-13

Man.   

177

160

-10

557

117

-79

734

277

-62

Sask.   

108

76

-30

75

333

344

183

409

123

Alta.   

651

784

20

451

844

87

1,102

1,628

48

Prairies

936

1,020

9

1,083

1,294

19

2,019

2,314

15

B.C.   

415

740

78

1,602

2,461

54

2,017

3,201

59

Canada (10,000+)

3,355

3,456

3

8,988

9,477

5

12,343

12,933

5


Metropolitan Areas


Abbotsford-Mission

17

27

59

251

20

-92

268

47

-82

Barrie

16

23

44

27

68

152

43

91

112

Belleville

11

16

45

12

58

383

23

74

222

Brantford

5

35

##

0

2

##

5

37

##

Calgary

221

325

47

205

326

59

426

651

53

Edmonton

244

298

22

204

421

106

448

719

60

Greater Sudbury

2

2

-

6

0

-100

8

2

-75

Guelph

13

3

-77

17

200

##

30

203

##

Halifax

27

51

89

137

104

-24

164

155

-5

Hamilton

67

43

-36

130

136

5

197

179

-9

Kelowna

40

36

-10

11

51

364

51

87

71

Kingston

13

12

-8

6

12

100

19

24

26

Kitchener-Cambridge-Waterloo

87

132

52

216

567

163

303

699

131

Lethbridge

18

28

56

2

12

##

20

40

100

London

61

59

-3

461

8

-98

522

67

-87

Moncton

3

6

100

64

0

-100

67

6

-91

Montréal

65

72

11

742

713

-4

807

785

-3

Oshawa

106

56

-47

67

64

-4

173

120

-31

Ottawa-Gatineau

98

138

41

472

515

9

570

653

15


Gatineau

3

18

##

6

212

##

9

230

##


Ottawa

95

120

26

466

303

-35

561

423

-25

Peterborough

2

25

##

10

0

-100

12

25

108

Québec

28

22

-21

170

221

30

198

243

23

Regina

51

32

-37

62

272

339

113

304

169

Saguenay

3

5

67

6

0

-100

9

5

-44

St. Catharines-Niagara

72

47

-35

9

66

##

81

113

40

Saint John

7

7

-

0

0

-

7

7

-

St. John's

18

27

50

5

10

100

23

37

61

Saskatoon

48

37

-23

11

54

391

59

91

54

Sherbrooke

10

5

-50

148

18

-88

158

23

-85

Thunder Bay

5

1

-80

0

0

-

5

1

-80

Toronto

871

543

-38

3,139

2,605

-17

4,010

3,148

-21

Trois-Rivières

12

1

-92

46

5

-89

58

6

-90

Vancouver

172

428

149

1,162

2,171

87

1,334

2,599

95

Victoria

64

55

-14

111

45

-59

175

100

-43

Windsor

39

19

-51

16

7

-56

55

26

-53

Winnipeg

136

132

-3

498

90

-82

634

222

-65

Total

2,652

2,748

4

8,423

8,841

5

11,075

11,589

5

Data for 2017 based on 2016 Census Definitions.


Data for 2018 based on 2016 Census Definitions.


Source: Market Analysis Centre, CMHC


## not calculable / extreme value

 


Preliminary Housing Start Data - Seasonally Adjusted at Annual Rates (SAAR)


Single-Detached

All Others

Total



December
2017

January
2018

%

December
2017

January
2018

%

December
2017

January
2018

%











Provinces (10,000+)




















N.L.

804

604

-25

681

319

-53

1,485

923

-38

P.E.I.   

372

166

-55

204

48

-76

576

214

-63

N.S.   

1,087

1,451

33

2,034

1,450

-29

3,121

2,901

-7

N.B.   

763

664

-13

1,625

238

-85

2,388

902

-62

Qc  

6,673

6,811

2

40,196

30,162

-25

46,869

36,973

-21

Ont.   

24,656

25,663

4

36,705

56,492

54

61,361

82,155

34

Man.   

3,072

2,526

-18

4,212

1,404

-67

7,284

3,930

-46

Sask.   

1,658

1,437

-13

2,328

3,996

72

3,986

5,433

36

Alta.   

12,533

12,622

1

8,751

10,699

22

21,284

23,321

10

B.C.   

11,708

11,771

1

37,894

29,877

-21

49,602

41,648

-16

Canada (10,000+)

63,326

63,715

1

134,630

134,685

0

197,956

198,400

0

Canada (All Areas)

77,601

77,140

-1

138,673

139,069

0

216,275

216,210

0


Metropolitan Areas


Abbotsford-Mission

446

612

37

156

240

54

602

852

42

Barrie

508

466

-8

516

816

58

1,024

1,282

25

Belleville

399

462

16

804

696

-13

1,203

1,158

-4

Brantford

131

708

440

24

24

-

155

732

372

Calgary

4,295

5,044

17

4,008

3,912

-2

8,303

8,956

8

Edmonton

5,100

5,184

2

3,660

5,052

38

8,760

10,236

17

Greater Sudbury

88

184

109

48

0

-100

136

184

35

Guelph

521

58

-89

960

2,400

150

1,481

2,458

66

Halifax

967

1,001

4

1,992

1,248

-37

2,959

2,249

-24

Hamilton

778

760

-2

3,216

1,632

-49

3,994

2,392

-40

Kelowna

921

785

-15

2,124

612

-71

3,045

1,397

-54

Kingston

594

324

-45

204

144

-29

798

468

-41

Kitchener-Cambridge-Waterloo

700

2,205

215

1,656

6,804

311

2,356

9,009

282

Lethbridge

436

470

8

264

144

-45

700

614

-12

London

2,118

1,380

-35

624

96

-85

2,742

1,476

-46

Moncton

184

278

51

420

0

-100

604

278

-54

Montréal

2,823

2,644

-6

37,465

9,561

-74

40,288

12,205

-70

Oshawa

1,508

1,264

-16

216

768

256

1,724

2,032

18

Ottawa-Gatineau

3,428

3,424

0

7,188

6,180

-14

10,616

9,604

-10


Gatineau

656

465

-29

576

2,544

342

1,232

3,009

144


Ottawa

2,772

2,959

7

6,612

3,636

-45

9,384

6,595

-30

Peterborough

390

501

28

288

0

-100

678

501

-26

Québec

694

684

-1

4,680

2,652

-43

5,374

3,336

-38

Regina

425

480

13

420

3,264

##

845

3,744

343

Saguenay

233

288

24

360

0

-100

593

288

-51

St. Catharines-Niagara

1,691

940

-44

312

792

154

2,003

1,732

-14

Saint John

146

165

13

312

0

-100

458

165

-64

St. John's

592

555

-6

468

120

-74

1,060

675

-36

Saskatoon

988

767

-22

1,728

648

-63

2,716

1,415

-48

Sherbrooke

452

193

-57

624

216

-65

1,076

409

-62

Thunder Bay

75

66

-12

0

0

-

75

66

-12

Toronto

8,291

8,906

7

17,676

31,260

77

25,967

40,166

55

Trois-Rivières

146

32

-78

540

60

-89

686

92

-87

Vancouver

5,881

6,237

6

27,672

26,052

-6

33,553

32,289

-4

Victoria

1,077

855

-21

1,608

540

-66

2,685

1,395

-48

Windsor

513

467

-9

24

84

250

537

551

3

Winnipeg

2,642

2,057

-22

3,864

1,080

-72

6,506

3,137

-52

Data for 2017 based on 2016 Census Definitions.


Data for 2018 based on 2016 Census Definitions.


Source: Market Analysis Centre, CMHC


## not calculable / extreme value

 

Housing Starts in Canada - All Areas January 2018 (CNW Group/Canada Mortgage and Housing Corporation)

Logo: Canada Mortgage and Housing Corporation (CMHC) (CNW Group/Canada Mortgage and Housing Corporation)

Logo: Government of Canada (CNW Group/Canada Mortgage and Housing Corporation)

SOURCE Canada Mortgage and Housing Corporation

View original content with multimedia: http://www.newswire.ca/en/releases/archive/February2018/08/c7674.html

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