The standalone monthly seasonally adjusted annual rate (SAAR) of total housing starts for all areas in Canada declined 11% in March (213,865 units) compared to February (240,927 units) according to Canada Mortgage and Housing Corporation (CMHC).
The monthly SAAR of total urban starts (centres 10,000 population and over) declined 12%, with 192,545 units recorded in March. Multi-unit urban starts decreased 11% to 151,769 units, while single-detached urban starts decreased 16% to 40,776 units.
Among the Vancouver, Toronto, and Montreal CMAs, only Vancouver recorded an increase in total SAAR housing starts in March, up 98% due to more than twice as many multi-unit starts compared to February. Montreal declined 12% and Toronto declined 26%.
The rural starts monthly SAAR estimate was 21,320 units.
The trend in housing starts was 240,669 units in March, down 6% from 254,658 units in February. The trend measure is a six-month moving average of the monthly SAAR of total housing starts for all areas in Canada.
” Despite the national decline in March, the SAAR of housing starts and the trend appear to be returning to pre-pandemic levels. With interest rates remaining high, it continues to be challenging for developers and homebuilders to get projects started. We will need to find innovative ways to deliver more housing supply to keep up with demand and ultimately improve affordability,” said Bob Dugan, CMHC’s Chief Economist.
Key Facts:
- Monthly Housing Starts and Other Construction Data are accessible in English and French on our website and the CMHC Housing Market Information Portal.
- Housing starts data is available on the eleventh business day each month. We will release the April housing starts data on May 15 at 8:15 AM ET.
- 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 clearer picture of upcoming new housing supply. In some situations, analyzing only SAAR data can be misleading, as the multi-unit segment largely drives the market and can vary significantly from one month to the next.
- Definitions and methodology to better understand the foundations of the Starts and Completions and Market Absorption surveys.
As a trusted source of housing information, CMHC provides unbiased housing-related data, research, and market information to help close knowledge gaps, and deepen understanding of complex housing issues to inform future policy decisions. Housing starts facilitate the analysis of monthly, quarterly, and year-over-year activity in the new home market. The data we collect as part of our Starts and Completions and Market Absorption surveys helps us obtain a clearer picture of upcoming new housing supply and is used as part of our various housing reports.