Knock knock: Rising interest rates and new mortgage regulations will slow revenue

The Residential Building Construction industry in Ontario consists of operators engaged in constructing or renovating a range of residential structures. The industry has benefited from stronger economic performance in Ontario than the national economy overall, alongside falling unemployment and rising population levels. Meanwhile, favourable mortgage conditions and low interest rates also helped stimulate residential construction activity for most of the reporting period, facilitating demand for industry operators. The primary driver of industry growth over the past five years has been an expansion in housing starts. Industry performance is forecast to slow over the five years to 2023...read more.

Industry Statistics & Market Size
Revenue
$22bn
Annual Growth 13-18
3.9%
Forecast Growth 18-23
Profit
Employment
77,106
Businesses
37,489

Industry Threats & Opportunities

  • The primary driver of industry growth has been an expansion in housing starts
  • Additional Insights for the Residential Building Construction in Ontario Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Residential Building Construction in Ontario Industry are

  • Access to multiskilled and flexible workforce
  • Ability to expand and curtail operations rapidly in line with market demand
  • Ability to alter goods and services produced in favour of market conditions:
  • IBISWorld analysts also discuss how external factors such as Value of residential construction and Unemployment rate in Ontario in the Residential Building Construction in Ontario industry impact industry performance..

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    What's in this report

    What is the Residential Building Construction in Ontario Industry?

    This industry constructs residential buildings in Canada, such as single-family homes, multifamily residential units including high-rise apartments, townhouses, condominiums and row houses. This industry includes general contractors, design-build firms and construction management companies acting as general contractors and builders.

    Industry Products
  • Single houses
  • Apartments
  • Row houses
  • Semi-detached houses
  • Industry Activities
  • Constructing single and multifamily home building and general contracting
  • Managing housing construction
  • Special-needs residential construction, such as low-income, senior care and campus housing
  • Managing residential remodelling construction
  • Handyman construction for buildings
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Value of residential construction
  • Unemployment rate in Ontario
  • GDP of Ontario
  • Population of Ontario

  • Current Performance
    Industry Outlook
    Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Residential Building Construction in Ontario Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Real Estate Investment Trusts in Canada
  • Apartment Rental in Canada
  • Colleges & Universities in Canada
  • Consumers in Canada

  • Key Selling Industries
  • Cement Manufacturing in Canada
  • Lumber Wholesaling in Canada
  • Ready-Mix Concrete Manufacturing in Canada
  • Roofing Contractors in Canada
  • Sawmills & Wood Production in Canada

  • Products & Services
  • Single houses
  • Apartments
  • Row houses
  • Semi-detached houses
  • Chart: Residential Building Construction in Ontario Industry Products and Services Segmentation

  • Major Markets
  • Individuals aged 65 years or older
  • Individuals aged 45 to 54
  • Individuals aged 55 to 64
  • Individuals aged 35 to 44
  • Individuals aged 25 to 34
  • Individuals aged 15 to 24
  • Chart: Major Market Segmentation for the Residential Building Construction in Ontario Industry

  • Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
  • Chart: Cost Structure Benchmarking – Sector vs Residential Building Construction in Ontario

  • Basis of Competition
    Barriers to Entry
    Brookfield Residential Properties Inc., Ledcor Group, Mattamy Homes, PCL Constructors Canada Inc.,
  • Table: Brookfield Residential Properties Inc. - financial performance
  • Table: Ledcor Group - financial performance
  • Table: Mattamy Homes - financial performance
  • Table: PCL Constructors Canada Inc. - financial performance

  • Capital Intensity
  • Chart: Level of Capital Intensity for the Residential Building Construction in Ontario Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Residential Building Construction in Ontario Industry
    Includes:
  • Industry Revenue (2009-2023)
  • Industry Gross Product (2009-2023)
  • Establishments (2009-2023)
  • Businesses (2009-2023)
  • Employment (2009-2023)
  • Wages (2009-2023)
  • Housing Starts in Ontario (2009-2023)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Developer
  • An enterprise that prepares a real estate site for residential or commercial use, raising capital, securing zoning approvals and hiring contractors to design, construct and develop property.
  • General Contractor
  • An individual or company that manages the construction of a structure for a property owner or developer. A general contractor may retain its own labour force or use subcontractors for projects.
  • Housing Starts
  • The number of new homes under construction during a specific period of time and a key indicator of the health of the housing market
  • What Our Customers Say

    Why buy this report?

    IBISWorld’s Residential Building Construction in Ontario market research report offers insightful industry analysis and research into the market at the national level. IBISWorld’s in-depth industry market research is presented in a logical and consistent format. The industry report contains key industry statistics, market size, industry trends, and growth and profit forecasts for a 5-year outlook period.

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Residential Building Construction in Ontario:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding of industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Residential Building Construction in Ontario market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Residential Building Construction in Ontario, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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