Actual housing starts rose 21 per cent in 2021

January 31, 2022



The seasonal trend in Canadian housing starts was 260,567 units in December, down from 267,606 units in November, according to Canada Mortgage and Housing Corporation (CMHC), but actual starts for all of 2021 were higher.
The seasonal trend measure is a six-month moving average of the monthly seasonally adjusted annual rates (SAAR) of housing starts.
“The six-month trend in housing starts was lower from November to December, but remains at very high levels,” said CMHC chief economist Bob Dugan. “On a positive note, actual urban housing starts were 21 per cent higher in 2021, adding much needed supply. The increase was driven by higher single-detached (up 28 per cent) and multi-family (up 19 per cent) starts and was mainly due to recovery following COVID-19 shutdown measures in 2020.”
On a trend and monthly SAAR basis, the level of housing starts activity in Canada remains high in historical terms. Among the three big markets of Vancouver, Toronto and Montreal, Vancouver was the only market to post growth in total SAAR starts in December, due to higher single-detached and multi-family starts.
The standalone monthly SAAR of housing starts for all areas in Canada was 236,106 units in December—down 22 per cent from 303,813 units in November. The SAAR of urban starts decreased by 24 per cent in December to 212,918 units. Rural starts were estimated at a SAAR of 23,188 units.