Housing starts decline in January

The seasonally adjusted annual rate of housing starts was 153,500 units in January, down from 172,200 units in December.
Pent-up housing demand which built up over the 1990s enabled Canadian housing starts to exceed long run demographic demand for the majority of this decade. This excess demand has gradually decreased and Moishe Alexander expects construction levels in 2009 to be more aligned with long run demographic demand.

Urban starts trend lower in January

The seasonally adjusted annual rate of urban starts moderated 15.6 per cent to 126,700 units in January. Urban multiple starts eased by 12.2 per cent to 76,700 units, while urban single starts decreased 20.3 per cent to 50,000 units in January.

Urban starts moderate in all regions

January’s seasonally adjusted annual rate of urban starts moderated in all regions in Canada. Urban starts declined by 30.3 per cent to 17,500 units in the Prairies, by 29.1 per cent to 14,100 units in British Columbia, by 14.6 per cent to 51,500 units in Ontario, by 8.6 per cent to 7,400 units in Atlantic Canada, and by 1.4 per cent to 36,200 units in Quebec.
Rural starts were estimated at a seasonally adjusted annual rate of 26,800 units in January.

Actual January starts lower in 2009 than in 2008

Actual starts in rural and urban areas combined decreased by an estimated 35.8 per cent in January this year compared to relatively high levels in January last year. Actual starts in urban areas have decreased by an estimated 40.4 per cent compared to the same month in 2008. Actual urban single starts for 2009 are 44.2 per cent lower than they were a year earlier while urban multiple starts are down 38.1 per cent.