Housing starts

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Methodology

The number of housing starts is an important indicator providing information about not only the construction and real estate markets but also general economic conditions. Housing starts are based on the total number of housing units; a single-family home thus counts as one unit while, in the case of multi-purpose buildings, only the number of units destined for residential use will be taken into account.

In addition to signalling an upturn in activity, an increase in housing starts often corresponds to an increase in consumer purchasing power and a decrease in mortgage rates.

This data is provided quarterly by the Conference Board of Canada in annualized form. Annualizing quarterly data (multiplying it by four) makes it possible to compare quarterly performance with the annual result.

This data is also deseasonalized, eliminating the impact of seasonal variations and making it possible to compare data throughout the year.

Methodology

The number of housing starts is an important indicator providing information about not only the construction and real estate markets but also general economic conditions. Housing starts are based on the total number of housing units; a single-family home thus counts as one unit while, in the case of multi-purpose buildings, only the number of units destined for residential use will be taken into account.

In addition to signalling an upturn in activity, an increase in housing starts often corresponds to an increase in consumer purchasing power and a decrease in mortgage rates.

The data for the 5 census metropolitan areas (CMA) is provided quarterly by the Conference Board of Canada in annualized form. Annualizing quarterly data (multiplying it by four) makes it possible to compare quarterly performance with the annual result.

This data is also deseasonalized, eliminating the impact of seasonal variations and making it possible to compare data throughout the year.