Statistics Canada (StatsCan) reported today (10-20-21) that the Canadian Consumer Price Index (CPI) increased 4.4% year-over-year in September. The September increase was at the fastest pace since February 2003. Prices rose year-over-year in every major component.
Wood Markets News
Mortgage Applications Dip in the Week Ending October 15, 2021
According to data from the Mortgage Bankers Association’s (MBA) Weekly Mortgage Application Survey (WMAS), for the week ending October 15, 2021, the Market Composite Index, a measure of mortgage loan application volume, decreased -6.3% on a seasonally adjusted basis from one week earlier. On an unadjusted basis, the Index decreased -6% compared with the previous week.
U.S. Housing Starts, Permits, and Completions All Move Lower in September
On Tuesday, the U.S. Census Bureau reported that privately‐owned housing starts in September were at a seasonally adjusted annual rate (SAAR) of 1,555,000. This is -1.6% below the revised August rate of 1,580,000 but is 7.4% above the September 2020 rate of 1,448,000. Single-family housing starts in September were at a rate of 1,080,000, virtually unchanged from the revised August figure.
The Westervelt Company and Caisse de dépôt et placement du Québec Announce New Strategic Partnership for Sustainable Forest Management with Acquisition of 76,000 Acres of Pine Timberland in Georgia
In a joint announcement on Monday (10-18-21), The Westervelt Company and Caisse de dépôt et placement du Québec (CDPQ), a global investment group, announced the acquisition of more than 76,000 acres (307 km2) of high-quality pine timberland and the creation of a new strategic partnership that will focus on sustainable timberland management.
18 Large Wildfires Continue to Burn Across the U.S. with Only 2 as Listed as Contained
As the wildfire season slowly comes to an end, The National Interagency Fire Center reported today (10-19-21) that there are 5,600 wildfire fighters deployed nationally trying to contain 18 large wildfires that are burning on over 2,253,764 acres. No new large fires were being reported as of today.
Supply Chain Issues Open Door for Mass Timber Projects in Canada
According to Patrick Crabbe, who oversees everything from pre-construction to execution for all of Bird Construction’s mass timber projects in Canada, supply chain difficulties have led to extended lead times on commodities such as steel I-joist and pre-engineered building components. These difficulties are creating new opportunities for mass timber products in the construction of low-rise commercial buildings in Canada.
Mortgage Applications for New Home Purchases Declined -16.2% Year-Over-Year in September
The Mortgage Bankers Association (MBA) announced today (10-19-21) the results of their Builder Application Survey (BAS) data for September 2021. The BAS reveals that mortgage applications for new home purchases declined -16.2% compared to September 2020. When compared to August 2021, applications decreased by -4%.
As the Program Winds Down, Share of Loans in Forbearance Continued to Decline in the Week Ending October 10, 2021
The latest Mortgage Banker Association’s (MBA) Forbearance and Call Survey reports that the total number of loans now in forbearance decreased by 34 basis points from 2.62% of servicers’ portfolio volume in the prior week to 2.28% as of October 10, 2021. According to MBA’s estimate, 1.1 million homeowners are in forbearance plans.
China’s New Construction Starts Decline for Sixth Consecutive Month in September
For the sixth month in a row, China’s new construction starts declined in September. This is the longest continuous monthly declines since March–August in 2015. According to Reuters calculations based on January-September data released by the National Bureau of Statistics on Monday (10-18-21), new construction starts in September fell -13.54% from a year earlier, the third month of double-digit declines.
Canadian Housing Starts Decline Month-Over-Month in September
The Canada Mortgage and Housing Corporation (CMHC) announced today (10-18-21) that the trend, which is a six-month moving average of the monthly seasonally adjusted annual rates (SAAR) of housing starts, in September was 271,068 units, down from 284,757 units in August 2021. The standalone monthly SAAR of housing starts for all areas in Canada was 251,151 units in September, a decrease of -4.4% from 262,754 units in August.