Housing starts are slowing down

Les mises en chantier ralentissent

Photo: Jonathan Hayward, The canadian Press
The Crown corporation has stated that the annualized and seasonally adjusted housing starts had declined to 206 314 units in July, compared to 246 200 units in June.

The pace of construction starts for housing has slowed in July, after having reached a record peak in the previous month, said on Thursday the canada mortgage and housing.

The Crown corporation has stated that the annualized and seasonally adjusted housing starts had declined to 206 314 units in July, compared to 246 200 units in June.

The projects of multi-unit housing in urban centres, such as condominiums and apartments, decreased by 20.3% from June to July, reaching 136 231 units, while starts of detached houses decreased by 3.6% to 53 862 units of one month to the other. Housing starts in rural areas have been estimated at an annualized and seasonally adjusted 16 221 units in July.

CMHC has noted that the trend over six months for housing starts remained well above historical averages due to the high levels of housing starts for collective housing in most major markets.

Speaking of a return to earth, the analyst Jocelyn Paquet of the National Bank, adds that, according to the quarterly data, the housing starts are expected to shrink to 21.8% in an annualized basis in the third quarter, and after two folds consecutive to the first and second. He cites Statistics Canada data released on Wednesday showing that the permits issued in the residential sector fell 10.8 % in June and 5.1 % in twelve months.

With The Duty

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