Canada: Housing starts pick up in January
February 9, 2015
Seasonally-adjusted annualized housing starts registered 187,300 units in January, according to the government-owned Canada Mortgage and Housing Corporation (CMHC). The figure marked a 4.3% increase over December’s 179,600 units and notably overshot market expectations of 178,500 units. The rise was driven largely by an increase in multiple urban starts.
The six-month moving average fell by 1.4% over the previous month, from December’s 191,600 average to 189,000 in January, thus reaching the lowest level in seven months. The CMHC commented that, “[o]verall, economic and demographic factors remain supportive of housing demand. The moderation in new home construction reflects inventory management by builders and is in line with CMHC’s expectations.”
Author: Dirina Mançellari, Senior Economist