Kingston Starts Decline in the Last Quarter of 2010

OTTAWA, ONTARIO--(Marketwire - Jan. 11, 2011) - According to data released today by Canada Mortgage and Housing Corporation (CMHC), housing starts in the Kingston Census Metropolitan Area (CMA) declined in the fourth quarter of 2010. Total preliminary starts dropped to 181 units or 69 units fewer than the level recorded in the same period in 2009. This decline was entirely due to zero apartment starts registered across Kingston. Overall, total housing starts finished 2010 at 653 units – a nine per cent decline from the 717 units recorded in 2009.

Single-detached housing starts, on the contrary, increased by 25 per cent between October and December of 2010, regaining the double-digit decline experienced in the previous quarter. This strong fourth quarter performance brought the total number of single-detached housing starts for 2010 to 522 units – a 21 per cent increase from the 432 units recorded in 2009.

"Single-detached housing construction activity in 2010 returned to historical levels after being on a downward trend for two years," noted Abdul Kargbo, Market Analyst at CMHC for Kingston.

"In addition to improved homeownership affordability due to historically low mortgage rates, the strong full-time employment growth among Kingston's move-up buyer segments (aged 45-64) helped encourage high levels of single-detached housing activity in 2010," concluded Kargbo.

To view "Housing Starts - Kingston CMA", please visit the following link: http://media3.marketwire.com/docs/kingston_table2.pdf.

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. 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 vital decisions.

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

To view "Total Starts Moderate in the Fourth Quarter", please visit the following link: http://media3.marketwire.com/docs/kingston_table.pdf.