09 Oct Single family construction starts soar

by Wayne Moore – Story: 57429 Oct 8, 2010 / 3:00 pm Castanet

While housing starts in the Central Okanagan took a nose-dive in September, construction of single detached homes remains on the rise.

That according to figures released Friday by the Canadian Mortgage and Housing Corporation.

In September, Kelowna and area housing starts totalled 72, a 26% decrease over September of 2009.

While the overall construction market took a dip, construction of single detached homes increased 36% in September compared to the same month a year ago.

“Detached housing has been the focus of new home demand in 2010,” says CMHC analyst, Paul Fabri.

“Lower lot prices and construction costs have allowed builders to compete more effectively with existing homes and attract more new home buyers this year. The inventory of new, completed and unoccupied detached homes has steadily declined since mid 2009 clearing the way for higher levels of detached home construction.”

Overall for the first nine months of this year, housing starts are up 114% over 2009 levels.

Single detached housing starts have increased by 92% (476 in 2010 compared with 248 in 2009) while multiple unit starts have increased by 162% (293 in 2010 compared with 112 in 2009).

Vernon and Kamloops were also up overall, led by single detached home starts while Penticton saw a 90% drop, due mainly to the lack of any multiple unit starts.

Pam Martin of Invis, Mortgage Broker – Kelowna,Vernon, Penticton, Okanagan, British Columbia, Canada