A poll this month of members of the Canadian Home Builders’ Association in Alberta shows that home starts are expected to drop almost 40 per cent in 2016 compared to last year with a total of 22,500 units. The multifamily sector will see the largest decline at 47.2 per cent while single-family home construction will fall by 27.6 per cent year-over-year.
In 2017 though, they expect a 5.7 per cent increase to 28,825 units. Even with the moderate rise in new home construction, levels would be well below the 5-year average of 34,600 seen between 2011 and 2015.
Again, single-family homes will lead with a 9.2 per cent increase while multifamily starts will rise just 2.5 per cent.
More market update:
Builders in Alberta are expecting to see a moderate increase in activity in 2017 following a major reduction in home building this year.