Home construction slows down in Ottawa this spring, statistics show

Home construction slowed down in April in the City of Ottawa, according to a new report.

The Canada Mortgage and Housing Corporation says there were 391 housing starts in Ottawa last month, down from 926 starts in April 2023.  There were 114 starts for single-family homes last month, and 277 construction starts for all other units.

The seasonally adjusted annual rate of housing starts shows 4,816 housing starts in Ottawa for April, down from 6,789 in March.

Across Canada, the annual pace of housing starts in April edged down one per cent compared to March. The seasonally adjusted housing rate for housing starts in Canada was 240,229 units in April, down from 242,267 in April.

The slowdown in housing starts in Ottawa comes as the City of Ottawa looks to increase development charges on new homes.  Council will vote today on the proposed changes.

Under the proposed new Ottawa bylaw, the development charges on single and semi-detached homes inside the Greenbelt will increase from $43,494 to $48,265, while they will increase from $51,376 to $57,596 on homes built outside the Greenbelt.

The new development charge fees will be transitioned in over 90 days.

Development charges on new home construction in Ottawa help pay for new roads, water and sewer infrastructure, transit and parks.

City staff shared statistics showing how Ottawa’s development charges compare to other cities in Ontario.   Development charges cost homebuyers $145,361 in Vaughan, $132,839 in Markham, $124,876 in Brampton, $118,308 in Mississauga and $97,041 in Toronto.  The graphic shows development charges in London are $44,076.

Source

Posted in CTV