Housing starts in the Toronto Census Metropolitan Area (CMA) trended slightly higher at 32,475 units in July compared to 32,024 in June 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.
''An increase in apartment starts pushed up the total housing starts tally in July, which follows the low activity from the previous month. However, overall starts are still on course to moderate by the end of the year as fewer sales in previous years translate to fewer starts," said Dana Senagama, CMHC's Toronto Senior Market Analyst.
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 stand alone monthly SAAR was 38,495 units in July, up from 26,693 units in June.
Toronto City recorded the highest number of starts in July compared to a year earlier mainly due to strong apartment starts. Brampton had the second highest starts activity within the Toronto CMA due to higher low rise housing starts, especially in single detached and row homes.
Preliminary Housing Starts data is also available in English and French at the following link: Preliminary Housing Starts Tables
As Canada's national housing agency, CMHC draws on more than 65 years of experience to help Canadians access a variety of quality, environmentally sustainable and affordable housing solutions.
CMHC also provides reliable, impartial and up-to-date housing market reports, analysis and knowledge to support and assist consumers and the housing industry in making informed decisions.
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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.
This release is also available at www.cmhc.ca
Additional data is available upon request.
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