Statistics Canada is reporting that, for four consecutive months, there was an increase in investment in residential construction and that much of this accelerated activity was in British Columbia. The fourth month was January — assembling and reporting these statistics obviously takes time, even for Statistics Canada — so it could be slightly outdated by the middle of March.
other potential meaning is that people are spending more money to build, perhaps, the same number of homes because this is a world of material shortages and the result is higher costs.
However, it’s a good sign. Maybe.
The key word in the StatsCan report is “investment” because it could have two meanings. One is that more people are spending more money to build more homes, a good sign in a country where there’s a well-documented housing shortage. The
other potential meaning is that people are spending more money to build, perhaps, the same number of homes because this is a world of material shortages and the result is higher costs.
The investment in residential construction was $14.1 billion for January and, of that, $7.6 billion was being allocated for single-family homes. The multi-unit investment rose to $6.5, an increase of 6 per cent compared to 2.5 per cent for single-family homes.
On the surface, it’s a promising indication. Would it have more punch if comparable figures were included for the number of residences?