OTTAWA, ON, March 15, 2024 /CNW/ - The total monthly seasonally adjusted annual rate (SAAR) of housing starts for all areas in Canada increased 14% in February (253,468 units) compared to January (223,176), according to Canada Mortgage and Housing Corporation (CMHC).
The six-month trend in housing starts increased from 244,638 units in January to 245,665 units in February for a slight 0.4% gain. The trend measure is a six-month moving average of the SAAR of total housing starts for all areas in Canada.
Housing Starts in Canada - All Areas (CNW Group/Canada Mortgage and Housing Corporation (CMHC))
The actual number of housing starts across Canada in urban centres of 10,000 population and over was up 11% to 17,495 units in February compared to 15,822 units in February 2023. The year-over-year increase was driven solely by higher multi-unit starts, up 16%. Single-detached starts decreased 14% in February.
February’s actual housing starts were 10% and 82% higher year-over-year in Toronto and Vancouver, respectively, because of higher multi-unit starts, while single-detached starts decreased. Montreal’s actual starts decreased 9%, as both housing segments were lower.
Quote:
“Following two consecutive monthly declines, both the SAAR and Trend of housing starts increased in February. This was due to growth in actual year-over-year starts, driven by higher multi-unit starts, particularly in Toronto and Vancouver. As the national housing shortage continues, the focus for developers continues to shift towards multi-unit construction in Canada’s major centres,” said Bob Dugan, CMHC’s Chief Economist*.*
Key Facts:
- The monthly SAAR of total urban (centres 10,000 population and over) housing starts increased 15%, with 238,633 units recorded. Multi-unit urban starts increased 20% to 196,392 units, while single-detached urban starts decreased 2% to 42,241 units.
- The rural starts monthly SAAR estimate was 14,835 units.
- Total SAAR housing starts were up 79% in Vancouver and 15% in Toronto, driven by significant increases in multi-unit starts. Montreal declined 31% due to sizeable decreases in both single-detached and multi-unit starts.
- Monthly Housing Starts and Other Construction Data are accessible in English and French on our website and the CMHC Housing Market Information Portal.
- Housing starts data is available on the eleventh business day each month. We will release the March housing starts data on April 16 at 8:15 AM ET.
- CMHC uses the trend measure as a complement to the monthly SAAR of housing starts to account for considerable swings in monthly estimates and to obtain a clearer picture of upcoming new housing supply. In some situations, analyzing only SAAR data can be misleading, as the multi-unit segment largely drives the market and can vary significantly from one month to the next.
- Definitions and methodology to better understand the foundations of the Starts and Completions and Market Absorption surveys.