Home construction rose more than expected in September, led by multiple-units activity, according to Canada Mortgage and Housing Corp.
CMHC said Tuesday that housing starts totalled a seasonally adjusted 205,900 units during the month, following an upwardly revised 191,900 units in August.
The seasonally adjusted annual rate of urban starts rose 8% to 185,900 units in September. Multiple-unit urban starts jumped 14.2% to 118,000 units, while urban single-unit construction fell 1.5% to 67,900 units.
Rural starts edged up to 20,000 units from 19,700 in August.
Economists had forecast overall housing starts of about 190,000 in September.
Economist Robert Kavcic, at BMO Capital Markets, said the housing market "continues to hold up well in Canada, helped by extremely low interest rates and a solid, though cooling, labour market."
