Housing starts move higher in May

    OTTAWA, June 8 /CNW Telbec/ - The seasonally adjusted annual rate(1) of
housing starts was 229,700 units in May, up from 211,900 units in April,
according to Canada Mortgage and Housing Corporation (CMHC).
    "Although housing starts moved higher in May, much of the increase came
from the volatile multiple segment which registered a significant increase in
Ontario," said Bob Dugan, Chief Economist at CMHC's Market Analysis Centre.
"Even with the strong performance in May, the single detached component, which
is usually a strong trend indicator, increased only slightly compared to its
April level. Rising mortgage carrying costs are expected to result in lower
housing starts in 2007 compared to last year."
    The seasonally adjusted annual rate of urban starts increased
9.9 per cent to 196,800 in May compared to April. Urban multiples were up
16.3 per cent to 110,100 units in May, while single starts rose 2.8 per cent
to 86,700 units.
    In May, seasonally adjusted urban starts went up in all regions except in
the Prairies, where they edged down by 0.2 per cent. Urban starts registered
an increase of 21.9 per cent in Ontario, 12.7 per cent in the Atlantic,
10.5 per cent in British Columbia, and 4.5 per cent in Quebec. Urban single
starts were either up or unchanged in all regions. Urban multiple starts edged
down in the Prairies, but were up in other regions. The largest increase in
urban multiple starts was in Ontario.
    Rural starts were estimated at a seasonally adjusted annual rate of
32,900 units in May.
    Actual starts, in rural and urban areas combined, were down an estimated
3.8 per cent in the first five months of 2007 compared to the same period in
2006. Actual starts in urban areas alone were down an estimated 5.8 per cent.
Actual single starts in urban areas were 11.7 per cent lower than they were a
year earlier, while actual urban multiple starts edged down 0.3 per cent.

    As Canada's national housing agency, Canada Mortgage and Housing
Corporation (CMHC) draws on over 60 years of experience to help Canadians
access a variety of quality, environmentally sustainable, and affordable homes
- homes that will continue to create vibrant and healthy communities and
cities across the country.
    For more information, visit www.cmhc.ca or call 1-800-668-2642.

    (1) All starts figures in this release, other than actual starts, are
        seasonally adjusted annual rates (SAAR) - that is, monthly figures
        adjusted to remove normal seasonal variation and multiplied by 12 to
        reflect annual levels.

                 (Ce document existe également en français)

    Please click below to view the <a href="http://www.cmhc.ca/en/corp/nero/nere/2007/2007-06-08-0815.cfm">Housing Starts in Canada - All areas chart</a>

    Housing Starts, Actual and SAAR(*)

                                       Actual                    SAAR
                                  May          May        April          May
                                 2006         2007         2007         2007
                                Final  Preliminary        Final  Preliminary
    Canada, all areas          21,022       22,098      211,900      229,700
      Canada, rural areas       3,113        3,209       32,900       32,900
      Canada, urban
       centres(xx)             17,909       18,889      179,000      196,800
        Canada, singles,
         urban centres          9,352        9,026       84,300       86,700
        Canada, multiples,
         urban centres          8,557        9,863       94,700      110,100

        Atlantic region,
         urban centres            823          788        6,300        7,100
        Quebec, urban
         centres                3,754        3,998       38,000       39,700
        Ontario, urban
         centres                6,578        6,513       55,600       67,800
        Prairie region,
         urban centres          4,425        4,563       48,600       48,500
        British Columbia,
         urban centres          2,329        3,027       30,500       33,700
    Source: CMHC
    (*)  Seasonally adjusted annual rates
    (xx) Urban centres with a population of 10,000 persons and over.
         Detailed data available upon request.

For further information:

For further information: On this release: Bob Dugan, CMHC, (613)
748-4009, bdugan@cmhc-schl.gc.ca; This release is also available on the CMHC
Web site: http://www.cmhc-schl.gc.ca; For regional starts information contact:
Atlantic provinces: Alex MacDonald, CMHC, (902) 426-8964,
amacdona@cmhc-schl.gc.ca; Quebec: Kevin Hughes, CMHC, (514) 283-4488,
khughes@cmhc-schl.gc.ca; Ontario: Ted Tsiakopoulos, CMHC, (416) 218-3407,
ttsiakop@cmhc-schl.gc.ca; Prairie provinces: Richard Corriveau, CMHC, (403)
515-3005, rcorrive@cmhc-schl.gc.ca; British Columbia: Carol Frketich, CMHC,
(604) 737-4067, cfrketic@cmhc-schl.gc.ca;

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