The value of building permits had their second straight monthly fall in September, but RBC Financial Group economists say that the housing boom remains intact.

Building permit issuance slipped 6.9% in September. This disappointed economists, who had expected a marginal gain. “While construction intentions of both the residential and non-residential sectors weakened during the month, non-residential permits decreased a significant 11.3% to $1.3 billion,” observes RBC. “Given the still-high vacancies evident in the non-residential sector, the fall back in these permits should not come as too much of a surprise. Meanwhile, residential permits fell 4.4% to $2.4 billion, largely as the result of a 16.1% decline in the more volatile multi-family component. However, the more stable single family sector moved up 1% from August, marking the second consecutive monthly increase.”

RBC reminds that, overall, permits are up 16.4% on the year. “While we have recently seen some periodic ups and downs in building permit activity, housing demand fundamentals remain rock-solid in Canada. In particular, mortgage rates are still quite low and job growth is strong. As such, Canada should continue to expect booming conditions in housing construction for the remainder of this year,” says RBC.

RBC notes that this report isn’t getting much attention, with traders awaiting a rate decision in the U.S. Market consensus suggests that the Fed will likely cut rates by 25 basis points to 1.5%.