QUEBEC CITY, QUEBEC--(Marketwired - Dec. 8, 2016) - Housing starts in the Québec census metropolitan area (CMA) were trending at 5,704 units in November, compared to 5,838 in October, 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.
"In November, the housing starts trend remained at a high level. The recent start of construction on several conventional rental housing projects accounted for a considerable share of the activity on the new home market. Given the still significant inventory of condominiums, a number of developers have shifted away from that segment and went ahead with the construction of rental housing projects. However, it is estimated that this market is facing a risk of overbuilding; the situation will therefore have to be monitored closely in the coming months," said Élisabeth Koulouris, CMHC's Principal, Market Analysis, for the Québec CMA.
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 6,085 units in November, up from 5,222 in October. 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.
Additional data is available upon request.
(Ce document existe également en français.)
To view the graph and tables associated with this release, please visit the following link: http://file.marketwire.com/release/079313e.pdf