OTTAWA (Reuters) – Canada’s construction sector showed more weakness than expected in August, with a sharp decrease in plans for commercial and institutional buildings while housing showed a more modest decline, according to Statistics Canada data on Monday.
http://ca.news.yahoo.com/canada-building-permits-fall-august-housing-cools-123944458–business.html
The building permits in Canada is not so stable at all. In August, it fell 21.2 percent after jumping 21.4 percent in July to a record high. This may results in many issues.
Just like what Finance Minister Jim Flaherty comments “the housing sector is ‘calming’ after a period of worry that a post-recession housing boom would turn into a bubble”
I have only been to Vancouver, where the housing price is comparative high among the cities in Canada. I used to think the situation should be blamed to the real estate speculators and the rich people from the world. Then I notice that the housing market here is not so friendly to normal people. The fact that the price for building permits is not stable may lead to wait and see mentality and panic because no one knows what time the housing price would go up and down. Right now the housing market becomes cool, which is a common phenomena but really should be paid attention to its deep reasons