Residential Construction Slows Down in the Quebec Area

QUEBEC CITY, QUEBEC--(Marketwired - Feb. 8, 2017) - Housing starts in the Québec census metropolitan area (CMA) were trending at 4,778 units in January, compared to 5,265 in December, according to Canada Mortgage and Housing Corporation (CMHC). The trend is a six-month moving average of the monthly seasonally adjusted annual rates (SAAR) of housing starts.

"The rate of housing starts in the Québec area decreased in recent months. This easing was expected, given that, among other things, the economic and demographic environment has been showing signs of slowing down. Still, the starts trend remained relatively high, as a result of the steady construction of conventional rental housing, but the pace of these starts is expected to decline this year," said Nicolas Bernatchez, Market Analyst at CMHC.

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, analyzing 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 2,925 units in January, down from 3,885 in December. The significant change in the annual rate was due to the multiples segment, which often shows notable variations from one month to the next.

Preliminary housing starts data is also available in English and French at the following link: Preliminary Housing Starts Tables.

As Canada's authority on housing, CMHC contributes to the stability of the housing market and financial system, provides support for Canadians in housing need, and offers objective housing research and information to Canadian governments, consumers and the housing industry.

For more information, visit our website at www.cmhc.ca or follow us on Twitter, YouTube, LinkedIn and Facebook.

Additional data is available upon request.

(Ce document existe également en français.)

Tables and a graph are available at the following address: http://media3.marketwire.com/docs/1085205_Quebec-e.pdf