The aftermaths of housing market’s trend after a prominent decline
by Devang Joshi
on Friday, December 22nd, 2017 at 1:05pm.
A real estate agency or a housing market has the propensity to be susceptible to the ever fluctuating and irregular patterns, and these vacillations in the market take place overnight. Later this year, the specialists of CMHC reported a significant yet drastic record change within a time span of one month—evidently May recorded a better housing start at 214,621 as compared to the trend recorded in April which was estimated to be 213,435.
“Housing starts trended higher in May in Canada’s urban areas,” said Bob Dugan, CMHC’s Chief Economist. “Row and apartment units led the upward move, while construction has slowed for pricier single- and semi-detached houses.”
As quoted by the Chief Economist of CMHC—“the housing start trended higher in May in Canada’s urban areas.” However, the figures reflected a significant decline in the beginning phase which exposed various regional differences.
It is notable that Vancouver has suffered from a minimal decline in the housing trends but, they began implementing the correct approach immediately. On the contrary, Kelowna, Abbotsford-Mission, and other urban areas observed a rise in their respective marketing trends.
The decline in the housing trends has persuaded Calgary, Edmonton, and Regina to seek the approval of the builders to construct new houses, and Alberta and Saskatchewan persist in exhibiting a constructive growth in their housing trends. As an honorable mention—Saskatoon is still under some pressure after enduring a decrease of 25 percent in the housing market’s direction which has made the builders apprehensive regarding the high inventory of multi-family units.
There was no significant decline or incline observed in the housing markets of Quebec—and they are notable trending lower than its neighboring cities. A growing vacancy rate for newly-built rental units is igniting this trend.
Last but not the least, Hamilton is exhibiting a strong trend for apartments with starts in this category as opposed to the previous year’s trend. There has been an increase of 16 percent so far in 2017 for single-detached starts.