The pace of new construction across Metro Vancouver slowed in the final month of 2011 as builders reduced the number of new construction starts in December for the third consecutive month. The Lower Mainland construction start activity for the month of December also fell below 2010′s results according to a report from the Canada Mortgage and Housing Corporation. However, the year ended on a positive note as total housing starts in 2011 for Metro Vancouver were well ahead of 2010 figures.
CMHC reported that actual month-over-month Metro Vancouver housing starts in the Vancouver CMA were down -28.9% to 1,199 units in December 2011 from the previous month with 1,686 starts in November 2011. On a month-over-month basis, the 1,199 starts in December 2011 represent a -30.1% decrease from last year when there were 1,715 housing starts across Metro Vancouver in December 2010.
A substantial decrease in Metro Vancouver multi-family housing starts accounted for the majority of the December 2011 decline over the previous month and last year’s figures.
This is the third consecutive month of declines in new construction starts across the lower mainland following a -2.1% decline in November 2011 and a -3.4% decline in October 2011.
Metro Vancouver Housing Starts down -28.9% to 1,199 total in December 2011 (1,686 in Nov 2011) and down -30.1% from 1,715 units in Dec 2010.
Total housing starts for the Metro Vancouver area in 2011 ended the year with a +17% increase to 17,867 units from January to December 2011 compared to last year when there were 15,217 units over the same period in 2010.
Vancouver CMA – Total Housing Starts – 2010 and 2011:
| January | 917 | +9.2% |
| February | 1402 | +52.9% |
| March | 879 | -37.3% |
| April | 1260 | +43.3% |
| May | 1173 | -6.9% |
| June | 1250 | +6.6% |
| July | 1124 | -10.1% |
| August | 1488 | +32.4% |
| September | 1644 | +10.5% |
| October | 1447 | -12.0% |
| November | 918 | -36.6% |
| December | 1715 | +86.8% |
| January | 1436 | -16.3% |
| February | 1414 | -1.5% |
| March | 958 | -32.2% |
| April | 1329 | +38.7% |
| May | 1991 | +49.8% |
| June | 1344 | -32.5% |
| July | 1538 | +14.4% |
| August | 1467 | -4.6% |
| September | 1783 | +21.5% |
| October | 1722 | -3.4% |
| November | 1686 | -2.1% |
| December | 1199 | -28.9% |
Multiple housing starts across Metro Vancouver were surprisingly down by -40% in December 2011 to 886 units from 1,477 starts in December 2010 while single-detached home starts were up by +32% to 313 units in December 2011 from 238 starts in December 2010.
The top 5 lower mainland areas for total housing starts in December 2011 were, Richmond with 281 units, Surrey with 264 units, Vancouver City with 217 units, Langley District with 135 units and Coquitlam with 82 units.
Vancouver CMA Housing Starts – December 2011:
On a year-to-date basis the top 5 lower mainland areas for total housing starts from January to December 2011 were, Vancouver City with 3,830 new housing units started, Surrey with 3,807 units, Richmond with 2,636 units, Burnaby with 1,611 units and Coquitlam with 1,442 units.
Vancouver CMA Housing Starts – January to December 2011:
The following chart shows the percentage increase for Lower Mainland housing starts by area from 2010 to 2011 on a year-to-date basis.
On a year to date basis from in the Vancouver CMA (Census Metropolitan Area) from January to December 2011:
- Total overall Metro Vancouver housing starts increased +17% to 17,867 units in 2011 from 15,217 starts in 2010.
- Total single detached housing starts in Metro Vancouver decreased by -19% to 3,686 units in 2011 from 4,533 starts in 2010.
- Multiple housing starts in Metro Vancouver increased by +33% to 14,181 units in 2011 from 10,684 units in 2010.
“Multiple-family starts fuelled growth in new home construction in 2011,” noted Robyn Adamache, CMHC’s Senior Market Analyst.
“Solid market trends and a more positive economic outlook compared to a year ago have provided the impetus for developers to undertake larger projects in 2011.
