Canada Mortgage and Housing Corporation

Canada Mortgage and Housing Corporation

June 08, 2009 23:59 ET

Housing starts increase in May

OTTAWA, June 8 - The seasonally adjusted annual rate(1) of
housing starts increased to 128,400 units in May from 117,600 units in April,
according to Canada Mortgage and Housing Corporation (CMHC).

"The increase in May is broadly based, encompassing both the singles and
multiples segments," said Bob Dugan, Chief Economist at CMHC's Market Analysis
Centre.

Housing starts are expected to improve throughout 2009 and over the next
several years to gradually become more closely aligned to demographic demand,
which is currently estimated at about 175,000 units per year.

The seasonally adjusted annual rate of urban starts increased 11.1 per
cent to 107,800 units in May. Urban multiple starts increased 11.1 per cent to
60,900 units, while urban single starts also moved up by 11.1 per cent to
46,900 units in May.

May's seasonally adjusted annual rate of urban starts increased 22.0 per
cent in Ontario, 16.8 per cent in the Prairies, 7.3 per cent in Atlantic
Canada, and 3.3 per cent in Quebec. Urban starts declined 5.0 per cent in
British Columbia.

Rural starts were estimated at a seasonally adjusted annual rate of
20,600 units in May(2).

As Canada's national housing agency, CMHC draws on more than 60 years of
experience to help Canadians access a variety of quality, environmentally
sustainable, and affordable homes - homes that will continue to create vibrant
and healthy communities and cities across the country.


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(1) All starts figures in this release, other than actual starts, are
seasonally adjusted annual rates (SAAR) - that is, monthly figures
adjusted to remove normal seasonal variation and multiplied by 12 to
reflect annual levels.
(2) CMHC estimates the level of rural starts for each of the three months
of the quarter, at the beginning of each quarter. During the last
month of the quarter, CMHC conducts the survey in rural areas and
revises the estimate.

For more information, visit www.cmhc.ca or call 1-800-668-2642.

This release is also available on the CMHC Web site:
http://www.cmhc-schl.gc.ca

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Housing Starts, Actual and SAAR(*)

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Actual SAAR
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May May April May
2008 2009 2009 2009
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Final Preliminary Final Preliminary
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Canada, all areas 21,908 12,604 117,600 128,400
Canada, rural
areas 2,686 2,236 20,600 20,600
Canada, urban
centres(xx) 19,222 10,368 97,000 107,800
Canada, singles,
urban centres 8,568 4,939 42,200 46,900
Canada, multiples,
urban centres 10,654 5,429 54,800 60,900

Atlantic region,
urban centres 1,094 760 6,800 7,300
Quebec, urban
centres 4,659 3,594 33,100 34,200
Ontario, urban
centres 6,570 3,665 34,100 41,600
Prairie region,
urban centres 3,819 1,540 13,100 15,300
British Columbia,
urban centres 3,080 809 9,900 9,400
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Sorce: CMHC
(*) Seasonally adjusted annual rates
(xx) Urban centres with a population of 10,000 and over.
Detailed data available upon request.

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