What Do Housing Starts Really Tell Us About the Squamish Real Estate Market?

If you follow real estate news, you’ve probably heard about "housing starts." But what does that term actually mean—and why should you care if you’re buying or selling in Squamish?Housing starts refer to the number of new residential homes on which construction has begun during a given period. This includes single-family homes, townhouses, condos, and apartments. Think of it as the official kickoff for a new home, marked by breaking ground or pouring concrete.

Why are housing starts important?

Tracking housing starts gives us insight into the health and direction of the real estate market. In Squamish, where growth has surged in recent years, starts can indicate future market trends, such as potential shifts in pricing, inventory levels, and buyer demand.

High housing starts: What it could mean

When housing starts are high, it signals that developers are confident about market conditions and future demand. For Squamish, this might mean:

• More inventory on the horizon: New builds mean more choices for buyers, potentially balancing the market if it’s been favouring sellers.
• Positive economic outlook: Developers usually don’t invest heavily unless they believe there’s strong future demand, often driven by population growth and job opportunities.
• Possible cooling of prices: Increased supply can moderate price growth, creating a more balanced and accessible market.

However, high starts don't automatically mean a flood of affordable housing. Developers might focus on higher-priced segments if they anticipate strong demand from affluent buyers relocating from Vancouver or elsewhere.

Low housing starts: What’s the story?

When housing starts dip, it might suggest that developers see risk ahead or are responding to issues like high interest rates, labour shortages, or economic uncertainty. In Squamish, low starts could translate to:

• Reduced inventory: Fewer homes coming to market could lead to tighter inventory and continued upward pressure on prices, particularly in desirable neighbourhoods.
• Competitive buyer environment: Limited new supply could mean increased competition for existing homes, benefiting sellers in the short term.

How Squamish compares

Squamish has a unique market influenced heavily by its location, lifestyle appeal, and proximity to Vancouver and Whistler. While housing starts in larger urban areas can fluctuate widely, Squamish tends to experience steadier growth, thanks to ongoing demand from lifestyle-driven buyers and those priced out of more expensive markets.The bottom line? Housing starts are a useful indicator—but not the whole story. They provide clues about what's coming down the pipeline, but always consider other factors, such as interest rates, economic conditions, and local market specifics.

What should you do with this information?

If you’re thinking of buying or selling in Squamish, pay attention to local housing starts—but don’t obsess over them. Better yet, talk to a local real estate professional (👋) who understands the full picture and can help you interpret what the data really means for your plans.Ready to chat about Squamish real estate?