Canadian Monthly Housing Starts Decline in October

The Canadian Mortgage and Housing Corporation (CMHC) reported on Wednesday (11-16-22) that October’s standalone monthly seasonally adjusted annual rate (SAAR) of total housing starts for all areas in Canada declined month-over-month by 11% to 267,055 units, compared to September’s 2022 high of 298,811 units.

The SAAR of total urban starts also declined, falling 11% to 245,234 units in October. Multi-unit urban starts fell 13% to 188,189 units, while the single-family detached urban starts decreased 4% to 57,045 units. Rural starts were estimated at a SAAR of 21,821 units.

The trend in housing starts was 277,667 units in October, up 0.5% from 276,374 units in September, according to CMHC. This trend measure is a six-month moving average of the monthly seasonally adjusted annual rates (SAAR) of housing starts.

Adding additional background and his analysis to the September housing report, CMHC’s Chief Economist Bob Dugan said:

“Monthly SAAR declined in October, while the six-month trend in housing starts slightly increased. October’s decrease in monthly SAAR housing starts in Canada’s urban areas was driven by both lower multi-unit and single-detached starts. Among Montreal, Toronto, and Vancouver, Montreal was the only market to post an increase in total SAAR housing starts, driven by a 19% increase in multi-unit activity. Toronto, down 47%, and Vancouver, down 19%, contributed to the overall monthly decline in SAAR housing starts for Canada. Despite this, Housing starts activity remains elevated in Canada in 2022.”