Six months into the year, home construction momentum is still robust.

Housing starts in Alberta came in at 42,271 units* in June, up 58% from the same month last year and was the 11th month in a row with starts at or above 40,000 units.

Starts averaged 44,550 units over the last six months, up 53% on a year-to-date (YTD) basis. The last time Alberta had seen starts this high over the first half of a year was back in the 2007 boom.

Single-detached starts have moved higher but over two-thirds of the YTD aggregate increase has come from multi-units which were sitting at the highest point on record for the first six months of the year.  

Regionally, Calgary and Edmonton have been building momentum since the end of last year with the former hitting a decade high back in September 2023. Edmonton has been playing catch up, but YTD starts were up by 67% through June. 

Alberta’s housing construction performance looks even more impressive when compared to the national picture. After a few upticks at the end of 2023, home construction activity shifted into reverse gear across most other regions. Despite a buffer from Quebec (+37% YTD), starts in the rest of the country edged down 1% YTD from 2023.

The ongoing housing construction upswing is in line with our latest economic outlook and is helping to meet the demand brought on by strong population growth. While the new construction is welcome news, one of the key factors holding back an even hotter pace of new construction is the ongoing shortage of skilled workers.  

Home construction is one of the key factors, along with rising energy production, pushing Alberta’s forecast of real GDP growth ahead of the national average.

*All data in this report are seasonally adjusted at an annual rate or SAAR.

Answer to the previous trivia question: The 2024 Republican National Convention is being held this week in Milwaukee.

Today’s trivia question: Who wrote the book At Home: A Short History of Private Life?