Canada Mortgage and Housing Corporation



Canada Mortgage and Housing Corporation

December 10, 2012 08:15 ET

November 2012 Housing Starts in Ontario

TORONTO, ONTARIO--(Marketwire - Dec. 10, 2012) - Housing starts in Ontario were trending at 69,982 units in November, 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 55,778 units in November, down from 65,098 units in October.

"Ontario new home construction activity peaked in April and has been trending lower since. The decline in November was broad based with both singles and multi-family construction moderating. Modest job growth versus the recent past, better supplied resale markets, a smaller backlog of apartment sales not yet constructed combined with a high level of units under construction are headwinds for the residential construction industry in the months ahead," said Ted Tsiakopoulos, CMHC's Ontario Regional Economist.

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.

While starts moderated in most centers during the latest month and so far in the fourth quarter, northern and south western Ontario communities are holding up better on a trend basis. Year-to-date total urban starts have reached 67,885 units in 2012, up 14 per cent from the same period one year ago. Just over half of Ontario urban centres are posting increases from the same period one year ago.

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.

[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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A graph is available at the following address: http://media3.marketwire.com/docs/CMHC_Ontario_ENG.pdf

Preliminary Housing Start Data
November/ 2011-2012
Province, Centres 10,000+ Nov- 2011 Nov - 2012
Actual, urban centres1
Nov - Single-Detached 2,645 1,960
Nov - Multiples 2,303 3,196
Nov- Total 4,948 5,156
January to November - Single-Detached 22,668 21,481
January to November- Multiples 36,812 46,404
January to November - Total 59,480 67,885
Oct- 2012 Nov - 2012
SAAR2, urban centres1
Total 65,098 55,778
Source: CMHC
1 Urban centres with a population of 10,000 and over.
2 Seasonally Adjusted at Annual Rates
Detailed data available upon request.

Contact Information

  • Market Analysis Contact:
    Ted Tsiakopoulos
    416-218-3407
    Cell: 416-579-4992
    ttsiakop@cmhc.ca

    Media Contact:
    Beth Bailey
    416-218-3355
    Cell: 416-988-4615
    bbailey@cmhc.ca