ONTARIO HOME STARTS GROW IN MARCH
Toronto, April 8 2011. Ontario preliminary Seasonally Adjusted Annual Rate (SAAR) of home starts across urban* centres grew for a third consecutive month in March. An estimated 71,900 residential housing units broke ground, up from 63,300 units in February. Higher density construction, led by the apartment sector, drove housing starts activity. The single detached construction sector however posted modest declines in the latest month. Urban markets specializing in ground oriented construction posted declines from this time last year while losing pace against higher density urban communities. For the year ending March, new home construction in Ontario urban areas is running 12 percent above levels for the same period one year ago.
“Ontario new home starts activity has strengthened ahead of schedule largely driven by more construction of apartment units,” said Ted Tsiakopoulos, CMHC`s Regional Economist. “Tighter rental markets, higher mortgage carrying costs and less land available for single detached construction suggests high density construction will be the key story for 2011,” added Tsiakopoulos.