Canada Mortgage and Housing Corporation

Canada Mortgage and Housing Corporation

August 09, 2005 08:15 ET

Canada Mortgage and Housing Corporation: Housing Starts Increase in July

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Aug. 9, 2005) - Canada Mortgage and Housing Corporation (CMHC) figures indicate that housing starts in the Vancouver CMA climbed 12 per cent to 1,645 units in July over the same period last year. The increase was due to a 27 per cent increase in multiple starts to 1,187 units last month. Single detached housing starts dipped 14 per cent to 458 units compared to the same month last year.

"We are now in the midst of a second wave of consumer demand," said Cameron Muir, Senior Market Analyst. "The first wave was a release of pent-up demand that accumulated during the late nineteen-nineties. The current market is supported by much stronger economic fundamentals. Employment and wage growth, an increasing number of migrants, and persistently low mortgage rates continue to drive home sales."

Year-to-date, housing starts in the Vancouver CMA were down 9 per cent to 10,219 units compared to the same period last year. So far this year single-detached starts have fallen 20 per cent to 2,736 units, while multiple starts were off 4 per cent from last year's pace to 7,483 units.

"Fewer housing starts over the last seven months was not due to falling demand," added Muir. "Rather, homebuilders were pre-occupied with completing the record number of units currently under construction."

Across the province urban housing starts were up 20 per cent to 2,974 units in July. An increase in multiple starts was responsible for this gain, climbing 45 per cent to 1,899 units over July of 2004. Single-detached housing starts slipped 8 per cent to 1,075 units over the same period. Year-to-date, urban BC housing starts declined 2 per cent to 17,284 units.

CMHC is Canada's national housing agency. The BC & Yukon Regional Business Centre produces a variety of reports that highlight trends in the new and resale housing markets.

To view the tables and map accompanying this press release please click on the following link: http://www2.ccnmatthews.com/database/fax/2000/CMHC0809.pdf

Contact Information

  • Canada Mortgage and Housing Corporation
    Cameron Muir
    Senior Market Analyst
    (604) 737-4144 or Cell: (778) 839-8590
    cmuir@cmhc.ca
    or
    Canada Mortgage and Housing Corporation
    Peggy Prill
    Market Analyst - Victoria / Vancouver Island Contact
    Cell: (250) 360-7322
    pprill@cmhc-schl.gc.ca
    or
    Canada Mortgage and Housing Corporation
    Paul Fabri
    Market Analyst - BC Southern Interior Contact
    (250) 712-4334
    pfabri@cmhc-schl.gc.ca
    www.cmhc.ca