Fear Grows Over "Frothy" Housing Markets in Vancouver and Toronto

There are new worries stirring in the country's hottest housing markets due to an overflow of home construction. Economists from Bank of Montreal and TD Bank are becoming concerned about the booming condo and apartment construction. Building permits jumped to an yearly rate of 213,000 last month.

Canada's national housing agency, CMHC, stated that the seasonally adjusted annual pace for housing starts in February increased to 212,594 units from 165,071 units in January. According to Thomson Reuters, a multinational mass media and information firm, economists had predicated an annual pace of 180,000 units.

Housing starts refer to the number of new residential construction projects that have begun during any particular month

The increase in February came as multiple-unit urban started jumped to 138,774 units, a 46.0 per cent increase and single-detached urban starts jumped to 61,457 units, a 6.1 per cent increase. Rural starts were predicted at a seasonally adjusted rate of 12,363.

Reference: BNN

Reference: http://www.bnn.ca/…/Pace-of-housing-starts-picks-up-in-Febr…