OTTAWA, ONTARIO--(Marketwire - Feb. 8, 2013) - Housing starts in Ottawa Census Metropolitan Area (CMA) were trending at 4,778 units in January, 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 housing starts. The standalone monthly SAAR was 6,521 units in January up from 4,202 units in December.
"The year started off with housing starts activity boosted by a rise in condominium construction. Total starts for January rose 6 per cent over the same period a year earlier. However, construction of single-detached units retreated by over half of their 2012 level capturing only 10 per cent of total starts," Anne-Marie Shaker, Market Analyst for Ottawa.
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, analysing 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 multiples segment includes apartments, rows and semi-detached homes.
In January, foundations for 306 apartments were poured in the Ottawa CMA, all of which were started in the city core, giving the area the overall lead in start activity for the month. West Carleton and Gloucester tied for second place each securing 9 per cent of market activity. Those two areas saw the lion's share of row unit construction for the month, while Kanata trailed slightly behind them. Nepean which took the lead in row unit construction same time last year (and for the whole year) retreated further behind this month.
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 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.
Follow CMHC on Twitter @CMHC_ca.
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.
Additional data is available upon request.
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To view the tables and graph associated with this press release, please visit the following link: http://media3.marketwire.com/docs/CMHC-2-7-Ottawa-E.pdf