Alberta has seen a dramatic surge in housing construction activity, with the Canada Mortgage and Housing Corp. reporting a 54 percent increase in housing starts during the first half of 2024, setting a record for this period. This surge represents the highest number of housing starts recorded in Alberta since 1990.
In the first six months of the year, Calgary had 11,178 housing starts, a 38 percent increase from the previous year, while Edmonton recorded 8,448 starts, up 67 percent. Together, these cities contributed to a record-breaking total of over 21,000 housing starts across the province, surpassing previous records. Saheb Dullet from BILD Alberta highlighted the potential for Alberta to break its all-time record of just under 40,000 housing starts, set in 2006, if the current pace continues. This optimistic outlook is buoyed by the strong growth in Calgary and Edmonton, alongside a rise in purpose-built rental units, which now constitute 33 percent of all housing starts. This marks a significant increase compared to the previous 15 years.
Nationally, Canada’s six largest metropolitan areas experienced a 4 percent combined year-over-year increase in housing starts. However, the higher interest rates have led to declines in multi-unit starts in Vancouver and Toronto, contributing to a downturn in the trend across Canada. Despite this, strong growth in housing starts in Alberta’s major cities and Montreal has partially offset these national decreases. The CMHC anticipates continued downward pressure on housing starts across Canada throughout 2024.
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