Canada: Housing starts slow in November
December 9, 2013
Seasonally-adjusted annualized housing starts registered 192,200 units in November according to the government-owned Canada Mortgage and Housing Corporation (CMHC). The figure was down 3.0% from October's revised 198,200 units (previously reported: 198,300 units) and came in below market expectations of 195,000 units.
The six-month moving average fell just 0.6% over the previous month, decreasing from 195,300 units in October to 194,000 in November. According to the CMHC, "the trend in housing starts has increased slightly since July, before stabilizing in November. Overall, housing starts have been following a trend similar to sales on the existing home market. As sales rise relative to listings of existing homes, buyers are increasingly meeting their needs in the new home market."
According to its Q3 Housing Market Outlook, the CMHC estimates that housing starts will reach 182,800 units in 2013 and 186,600 units in 2014. FocusEconomics Consensus Forecast participants expect 184,000 housing starts in 2013. For 2014, the panel sees housing starts at 176,000.
Author: Carl Kelly, Economist