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Ontario experienced a decrease in the number of residential building permits issued for the first time in three years, according to data from the Municipal Property Assessment Corporation (MPAC). In total, 108,080 building permits were issued for new developments and home improvements, representing an 11.6% decrease from the previous year. MPAC attributes the decline to people shifting their priorities now that COVID-19 restrictions have been lifted, with a focus on experiences and travel. The cost of borrowing has also increased with higher interest rates, which has impacted the number of permits issued.
MPAC also reported a decrease of more than 9% in residential home improvement permits, with over 63,000 issued for renovations, additions, swimming pools, sheds, garages, and decks. Despite the decline, permits are still up 22% from pre-pandemic 2019 levels. Toronto led the province with the most permits issued at 9,359, which is almost unchanged from the previous year. However, most municipalities experienced a decrease in the number of permits issued.
Residential swimming pool permits dropped by almost 27%, with 6,617 permits issued in the province. Shed permits also decreased by almost 20% to 3,409, and garage permits decreased in most municipalities, with only two other municipalities seeing an increase.
Read the full article on: REAL ESTATE MAGAZINE
