Canadian Housing Starts Soar 16% in July

On Friday, the Canadian Mortgage and Home Corporation (CMHC) reported that the total monthly seasonally adjusted annual rate (SAAR) of housing starts for all areas in Canada increased 16% in July to 279,509 units, up from 241,643 in June.

The “trend” in housing starts increased 3.2% from 247,840 units in June to 255,783 units in July. The trend measure is a six-month moving average of the SAAR of nationwide housing starts.

In Canadian urban centers with a population of 10,000 or greater, there have been 132,823 actual housing starts year-to-date. This compares to 123,593 for the same time period in 2023, meaning actual housing starts are currently 7.5% higher this year.

The monthly SAAR of total urban (centers 10,000 population and over) housing starts was 17% higher at 261,134 units recorded. Multi-unit urban starts increased 21% to 217,306 units, while single-detached urban starts increased 2% to 43,828 units. The rural starts monthly SAAR estimate was 18,375 units.

In remarks accompanying the report, CMHC Chief Economist Bob Dugan said:

“Both the SAAR and trend of housing starts increased in July. This was due to growth in actual year-over-year starts, driven by higher multi-unit starts, particularly in Calgary and Ottawa. As the national housing shortage continues, developers remain focused on multi-unit construction in Canada’s major centers.”