Canada Mortgage and Housing Corporation

Canada Mortgage and Housing Corporation

July 09, 2014 08:15 ET

June 2014 Housing Starts in Toronto

TORONTO, ONTARIO--(Marketwired - July 9, 2014) - Housing starts in the Toronto Census Metropolitan Area (CMA) trended lower at 31,950 units in June compared to 32,897 in May 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.

''A drop in apartment starts was responsible for the decline in total housing starts in June. Apartment starts tend to vary from month to month and such fluctuations do not point to a longer term trend," said Dana Senagama, CMHC's Toronto Senior Market Analyst. "Starts of townhouses and semi-detached homes are trending higher which points to the increasing popularity of less expensive low rise homes, especially among first time home buyers."

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 stand alone monthly SAAR was 26,479 units in June, down from 37,854 units in May.

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.

This release is also available at www.cmhc.ca

Additional data is available upon request.

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A table and a graph are available at the following address: http://media3.marketwire.com/docs/956492a.pdf

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