The pace of housing starts across Canada is showing signs of losing momentum, which could further diverge the tight supply and booming demand for housing.
According to latest data released by the Canada Mortgage and Housing Corporation (CMHC), the seasonally adjusted annual rate of housing starts fell from 249,922 units in September to 236,554 units in October, marking a decline of 5.3%. Multiple urban starts were also down 5.3%, while urban starts slumped 3.7% to 214,797 units last month.
On the other hand, though, single-detached urban starts rose 1% to 58,016 units, while rural starts stood at a seasonally adjusted annual rate of 21,757 units. Last month’s decline in housing starts will likely further impede the country’s housing supply, which has struggled to keep up with soaring demand since the beginning of the pandemic.
Information for this briefing was found via the CMHC. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.