EDMONTON, ALBERTA--(Marketwired - May 8, 2014) - Housing starts in the Edmonton Census Metropolitan Area (CMA) were trending at 12,631 units in April compared to 12,772 in March, according to Canada Mortgage and Housing Corporation (CMHC). The trend is a six month moving average of the monthly seasonally adjusted annual rates (SAAR)(1) of total housing starts.
"The trend in total housing starts remained relatively stable in April as a small rise in the pace of single-detached starts was countered by a modest decline in multi-family starts. Demand for single-detached homes in Edmonton is being supported by employment gains, low mortgage rates, and a low inventory of active listings in the competing resale market," said Christina Butchart, CMHC's Senior Market Analyst for Edmonton.
CMHC uses the trend measure as a complement to the monthly SAAR of housing starts to account for considerable swings in monthly estimates and obtain a more complete picture of the state of the housing market. In some situations, analyzing only SAAR data can be misleading in some markets, as they are largely driven by the multiples segment of the markets which can be quite variable from one month to the next.
The standalone monthly SAAR was 14,600 units in April, compared to 10,079 in March. The increase was due to stronger construction in the multi-family sector, where starts reached their highest level since December 2013.
Preliminary Housing Starts data is also available in English and French at the following link: Preliminary Housing Starts Tables
As Canada's national housing agency, CMHC draws on more than 65 years of experience to help Canadians access a variety of high quality, environmentally sustainable and affordable housing solutions. CMHC also provides reliable, impartial and up-to-date housing market reports, analysis and knowledge to support and assist consumers and the housing industry in making informed decisions.
(1) All starts figures in this release, other than actual starts and the trend estimate, are seasonally adjusted annual rates (SAAR) - that is, monthly figures adjusted to remove normal seasonal variation and multiplied by 12 to reflect annual levels. By removing seasonal ups and downs, seasonal adjustment allows for a comparison from one season to the next and from one month to the next. Reporting monthly figures at annual rates indicates the annual level of starts that would be obtained if the monthly pace was maintained for 12 months. This facilitates comparison of the current pace of activity to annual forecasts as well as to historical annual levels.
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Information on this release:
Additional data is available upon request
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Tables and a graph are available at the following address: http://media3.marketwire.com/docs/944429a.pdf