The housing starts for multi-family homes have been soaring this March. Multi-family housing starts in Calgary were up 212% this March when compared to the figures that were seen in March of 2013. Canada Mortgage and Housing Corporation is reporting that there were 1,217 starts last month in Calgary compared to 390 in March of 2013.
There's a growing trend in housing starts while at the same time the single-family starts have declined. Housing starts for single-family homes went down to 450, which is a drop of 10% when compared to the 500 starts that were reported last March. Overall, the total number of starts in the Calgary area went up 87% from 890 in March of last year to 1,667 this March.
Multi-family housing units are desperately needed across the city to keep on track with the strong migration that continues to flow into Calgary. As well, with the vacancy rate so low for rental units, it's expected that the new properties that are being built will be well absorbed.
Nationally, housing starts went down from 190,639 in February 2014 to 156,823 last month. This represents an overall cooling of the construction activity that's taking place across the country in the residential sector. It's expected that the number of housing starts in Canada will generally decline during the next couple of years due to economic reasons.
As you travel through Calgary you can see a number of multi-family dwellings rising up in different parts of the city. As they are completed it will bring some relief to the market as newcomers make their way into the city and renters decide to upgrade to home ownership. With the Calgary rental market so tight right now, many individuals and families are deciding to purchase a property to avoid the high rental prices.