By Judy McKinnon
TORONTO--Canadian housing starts fell 12% to an annual rate of 192,928 units in October, Canada Mortgage and Housing Corp. said Tuesday.
The country's national housing agency said housing starts remained stable last month, noting that a downward trend in apartment starts in the west coast province of British Columbia were offset by a pickup in construction of single, semi-detached and row-house units elsewhere in the country.
October housing starts were in line with expectations, CIBC Capital Markets economist Nick Exarhos said in a note.
Urban housing starts fell 12.1% in October, to 176,131 units.
Multiple-unit urban starts, which includes condominiums, were down 15.3% and single-detached urban starts fell 5.4%.
Rural starts were estimated at a seasonally adjusted annual rate of 16,797 units, the agency said.
Late last month, Canada Mortgage and Housing issued its strongest warning yet on the country's real-estate markets. It said it had found "strong evidence" of problematic conditions overall, with house prices outpacing disposable income in several major markets.
"The current trend in new building, in addition to projects currently under construction, suggests that residential investment isn't likely to be an imminent drag on the Canadian outlook, even if its contributions to growth should be more muted given already elevated levels of activity," Mr. Exarhos wrote.
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(END) Dow Jones Newswires
November 08, 2016 08:51 ET (13:51 GMT)
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