Housing starts continue to rise

Low interest rates continue to boost housing starts in Kelowna.

Paul Fabri, Market Analyst for the Canadian Mortgage and Housing Corporation, reports that housing starts increased to 77 homes in April, compared to 29 homes at the same time in 2009.

"Both detached home and multi-family starts have picked up from the unusually low levels of new home construction recorded in 2009," says Fabri.

“New home buyers are taking advantage of favourable interest rates and lower construction costs.”

In the meantime, multi-family projects are on the back burner. “Kelowna’s multi-family construction sector has moved away from big apartment condominium projects,” says Fabri, thanks to an already well-supplied condo market.

“For now, builders have focused on smaller, phased attached housing projects and rental apartment construction."

While housing starts were also up in Kamloops and Penticton, Vernon housing starts declined.

Across the country, housing starts edged up to 201,700 units, from 199,200 units. In urban B.C., housing starts edged up 3,600 units to 25,600 from March.