Residential Starts and Sales
Decline in October

Housing market activity
declined in the
Halifax Regional Municipality (HRM)
last month. Single-detached
housing starts, apartment unit
starts and existing home sales
were all lower in October
compared to last year. Prices
for both new and existing homes
continued to advance in October
but at some of the slowest rates
of growth of the year.

New Construction:
Total housing starts fell for just
the fourth month this year, due in
large part to a lack of apartment unit
construction. In October, single
starts were off slightly to
83 units compared to 86 last year.
On a year-to-date basis, single
starts are down more than 14
per cent with 753 units started
so far this year.
After climbing sharply in September,
semi-detached and row starts were
virtually unchanged in October at 38
units compared to 39 last year. Semi
and row starts had been down all
year, but trimmed the decline to just
ten per cent as of October to 226
units compared to 251 as of October
last year.
Apartment starts have been the
primary driver of growth in the
HRM housing market this year. Last
month, however, new apartment starts
numbered only seven units which was
well below the 165 units recorded last
October. Despite the monthly decline,
apartment construction is seeing the
highest level of activity since 1991.
As of October, apartment starts have
reached 1,341 units compared to 984
units at the same time last year – an
increase of 36 per cent.
Due to the completion of 213
apartment units in October, the total
number of apartments now under
construction has dropped to 1,970 units
from 2,176 units in September. This is
still more than nearly 70 per cent higher
than the average number of 1,163 units
under construction in 2010.
The new single-detached home
inventory declined again last month
as completed and not absorbed units
fell by 45 per cent. While price growth
was minimal in the month of October,
on a year-to-date basis new singledetached
home prices have increased
by approximately 12.5 per cent to
$398,572. The strong rate of growth
is due, in large part, to the fact most
of the new home sales growth is
occurring in the higher price ranges.

Existing Home Sales (MLS):
After four consecutive months of
growth, existing home sales cooled
slightly in October by 4.6 per cent.
Existing homes sales declined to
396 units compared to 415 units in
October of 2010. Sales activity was
mixed at the submarket level, with
Dartmouth City and Halifax County
Southwest seeing growth while all
other submarkets recorded fewer
sales compared to last October.
On a year-to-date basis, sales are
virtually unchanged with 5,041 units
compared to 5,062 units in October
2010. At a submarket level, year-todate
sales are mixed with Fall-River
Beaverbank seeing the most growth
at 3.3 per cent and Halifax County
Southwest seeing the largest decline
at 6.7 per cent.
Average existing home price growth
was 2.4 per cent in October with
prices now up 3.8 per cent for the
year. The average price as of October
was $259,464. The largest year-todate
price increases were in the
submarkets of Sackville and Fall-River
Beaverbank at 7.8 and 5.9 per cent,
respectively. The highest average price
continues to be found in Bedford-
Hammonds Plains which saw growth
of 4.1 per cent to $341,803 as of October
The inventory of existing homes
increased by 2.5 per cent as of
October as listings reached 3,134.
After ten months of the year, the
average length of time it takes to sell
a home in the HRM was up slightly to
93 days from 92 days last year.

Apartment Construction and Existing Home
Sales Increase in September

Housing market activity turned slightly
more positive in the Halifax Regional
Municipality (HRM) last month.
Single-detached housing starts were
unchanged in September compared
to last year: apartment construction
recorded another strong increase and
existing home sales saw the largest
increase of the year. Prices also
continued to advance in September
with growth in both new and existing
average home prices.

New Construction:

Total housing starts climbed again
last month due to another increase
in apartment construction and stable
single-detached housing starts. In
September, single starts were
unchanged compared to last year at
105 units. On a year-to-date basis,
single starts remain down 16 per cent
with 665 units started after three
quarters.
Semi-detached and row starts
combined were up sharply in
September with 35 units starting
construction compared to just six in
September 2010. The year-to-date
decline has slowed to 14 per cent
with 180 units started so far this year
compared to 210 units last year.
Apartment starts continue to be
the key driver of growth in new
construction in the HRM. Last month
another 246 apartment units started
construction, bringing the year-to-date
total to 1,332 units. This represents
an increase of more than 60 per cent
compared to the level of activity
recorded during the same period in
2010.
The total number of apartments now
under construction in the HRM has
climbed to 2,176 units. This is nearly
double the 1,177 units that were under
construction at the same time last year.
Over the next 12 to 18 months, most
of the units under construction will
be completed and added to the local
housing market.
The new single-detached home
inventory declined again last month as
completed and not absorbed units fell
by 47 per cent. With most of the new
home sales growth occurring in the
higher price ranges, the average new
home price has climbed 14 per cent in
2011 to $404,962.

Existing Home Sales:

Existing home sales saw the highest
rate of growth for the year last month
as sales increased nearly 19 per cent
to 469 units. Sales were up in most
submarkets with Halifax County East
and Fall River-Beaverbank recording
the largest gains at 57 and 52 per cent,
respectively.
On a year-to-date basis, sales are more
mixed by submarket. Halifax City and
Dartmouth City which combine for
just over half of all sales in the HRM,
recorded very slight declines of less
than one per cent.
Average existing home price growth
was 4.3 per cent in September and
now stands at 3.9 per cent for the year.
The average price as of September
was $260,076. The largest year-to-date
price increases were in the submarkets
of Sackville and Halifax City at 7.9 and
5.5 per cent, respectively. The highest
average price continues to be found in
Bedford-Hammonds Plains which saw
growth of 4.3 per cent to $343,629 as
of September.
The inventory of existing homes
increased by eight per cent as of
September as listings reached 3,506.
After three quarters of the year, the
average length of time it takes to sell a
home in the HRM was up slightly to 92
days.