OTTAWA (Reuters) - The value of Canadian building permits issued in May jumped 8.9 percent on plans for more construction of residential buildings, particularly in the red-hot market of Ontario, Statistics Canada said on Thursday.
Analysts in a Reuters poll had expected a 2.6 percent increase. Statscan revised April’s data to show a 0.5 percent advance, compared with an initially reported fall of 0.2 percent.
Residential building permits rose by 10.8 percent on strength in Ontario, the most populous of Canada’s 10 provinces. Permits for multi-family buildings soared by 15.0 percent, while single-family units posted a 7.4 percent gain.
The data suggests some easing in the tight supply of housing that economists blame for home prices that have been surging in Toronto, Canada’s largest city.
Non-residential building permits rose 5.6 percent in May, the third consecutive monthly gain, on increased plans for commercial structures such as retail and wholesale buildings.
Reporting by David Ljunggren; Editing by Lisa Von Ahn