Total Cost of Residential Construction for Canada

OPCNRE01CAA661N • Economic Data from Federal Reserve Economic Data (FRED)

Latest Value

103.16

Year-over-Year Change

46.35%

Date Range

1/1/1981 - 1/1/2016

Summary

The 'Total Cost of Residential Construction for Canada' metric measures the total inflation-adjusted cost of constructing new residential housing units in Canada. This indicator provides insight into broader construction sector trends and housing market conditions.

Analysis & Context

This economic indicator provides valuable insights into current market conditions and economic trends. The data is updated regularly by the Federal Reserve and represents one of the most reliable sources for economic analysis.

Understanding this metric helps economists, policymakers, and investors make informed decisions about economic conditions and future trends. The interactive chart above allows you to explore historical patterns and identify key trends over time.

About This Dataset

This series represents the total real cost of building new single-family homes, townhouses, and multi-unit residential structures in Canada. It is a key barometer of housing supply and construction activity, which are closely tied to economic growth, consumer confidence, and government policy.

Methodology

The data is collected by Statistics Canada through surveys of construction companies and home builders.

Historical Context

Policymakers and analysts use this metric to assess the health of the Canadian housing market and broader economic conditions.

Key Facts

  • The series is published quarterly with a 1-2 month lag.
  • Residential construction costs have risen over 30% in Canada since 2015.
  • High construction costs can limit housing affordability and supply.

FAQs

Q: What does this economic trend measure?

A: The 'Total Cost of Residential Construction for Canada' metric measures the total inflation-adjusted cost of constructing new housing units in Canada, including single-family homes, townhouses, and multi-unit structures.

Q: Why is this trend relevant for users or analysts?

A: This indicator provides insight into the state of the Canadian housing market and construction sector, which are key drivers of economic growth. High construction costs can limit housing affordability and supply.

Q: How is this data collected or calculated?

A: The data is collected by Statistics Canada through surveys of construction companies and home builders.

Q: How is this trend used in economic policy?

A: Policymakers and analysts use this metric to assess the health of the Canadian housing market and broader economic conditions, which can inform decisions around monetary policy, housing policy, and economic stimulus.

Q: Are there update delays or limitations?

A: The series is published quarterly with a 1-2 month lag, so the most recent data may not fully reflect the current state of the housing market.

Related Trends

Citation

U.S. Federal Reserve, Total Cost of Residential Construction for Canada (OPCNRE01CAA661N), retrieved from FRED.