TORONTO, ONTARIO--(Marketwired - Nov. 9, 2015) - Housing starts in Hamilton Census Metropolitan Area (CMA) were trending up at 2,578 units in October compared to 2,065 units in September, 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 trend in Hamilton CMA total housing starts increased in October 2015, marking five consecutive monthly increases. Similar to the previous month, October's increase in the trend measure was broadly based, with starts of all dwelling types trending up. Strong employment growth and relatively low mortgage rates continued to support housing demand. Specifically, Hamilton's employment is up 0.7 per cent in the first nine months of 2015 compared to the same period a year ago," said Abdul Kargbo, CMHC's Senior Market Analyst for Hamilton and Brantford CMAs. "Year to date, all the jobs created in Hamilton were full-time positions on a net basis, underscoring employers' confidence in the local economic expansion."
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.
The standalone monthly SAAR was 4,296 units in October, up from 1,886 units in September. The October spike in the SAAR measure was mostly due to a strong rebound in apartment construction.
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.
Follow CMHC on Twitter @CMHC_ca
Additional data is available upon request.
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(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.
Tables and a graph are available at the following address: http://media3.marketwire.com/docs/1031822_ENG.pdf