Final figures from CMHC showed a record of 189,930 new housing unit starts in 2010 across Canada. Housing starts in January 2011 set the tempo in a more moderate pace with 170,400 units. New housing activity has been moderating towards demographic fundamentals during the last months of 2010, and this trend is believed to continue throughout the whole year 2011.
Getting over the hurdle
Photo by Graham
According to Bob Dugan, Chief Economist at CMHC’s Market Analysis Centre, “housing starts moved slightly higher in January because of an increase in rural starts.” Other segments showed a moderate decline.
The seasonally adjusted annual rate of urban starts decreased by 1.7 per cent to 146,900 units in January. Urban multiple starts moderated by 1.5 per cent in January to 82,900 units, while single urban starts moved lower by 2.0 per cent to 64,000 units.
January’s seasonally adjusted annual rate of urban starts decreased by 19.0 per cent in the Prairie Region, by 7.9 per cent in British Columbia, and by 1.0 per cent in Québec. Urban starts increased by 13.3 per cent in Atlantic Canada and by 10.3 per cent in Ontario.
Rural starts were estimated at a seasonally adjusted annual rate of 23,500 units in January.
