Canada: Housing starts moderate in September
October 8, 2015
Seasonally-adjusted annualized housing starts registered an over-three-year high of 230,700 units in September, according to the government-owned Canada Mortgage and Housing Corporation (CMHC). The figure marked a 7.7% increase over August’s revised 214.300 units (previously reported: 216,900 units) and overshot market expectations of 200,000 units.
The six-month moving average rose by 3.4% over the previous month, from August’s 195,800 to 202,500 in September. The CMHC commented that, “the trend in housing starts is at its highest point since January 2013, as a result of the launch of some major rental housing projects as well as continued strength in condominium construction. As a result, trend activity is now above the projected annual pace of around 190,000 new households. This underscores the continuing need for inventory management to minimize the number of completed but unsold units.”
Author: Robert Hill, Economist