June Housing Starts Up 0.4% — Trend Strengthens

Canada’s homebuilding sector posted a modest rebound in June, with housing starts rising 0.4% month-over-month, according to new data released by the Canada Mortgage and Housing Corporation (CMHC).
But the more significant signal came from the six-month trend, which rose 3.6% to 253,000 units — indicating that construction activity is beginning to regain stability after a choppy start to the year.

Key Figures at a Glance:

• June 2025 housing starts: 247,000 units (seasonally adjusted annual rate)
• Six-month trend: Up 3.6%, now at 253,000 units
• Urban starts: ↑ 14% year-over-year
• Multi-unit urban starts: Continue to dominate, especially in Vancouver
• Toronto: Remains relatively flat, with a slowdown in condo starts

Vancouver Leads the Charge

Much of the momentum came from Vancouver, where multi-unit construction surged, helping to offset dips in other major metros. Several large-scale rental and affordable housing projects broke ground in June, buoyed by local and federal incentives.
According to CMHC, Vancouver saw a notable increase in purpose-built rentals and townhome starts, pushing the overall B.C. numbers higher.

Toronto Remains Sluggish

While construction volume in Toronto remains sizable, new condo projects slowed, likely due to financing challenges, high interest rates, and consumer uncertainty.
CMHC notes that developers in Ontario are taking a cautious approach, waiting for rate clarity before committing to new builds.

Other Regional Highlights

• Saskatchewan and Alberta posted strong year-over-year growth in urban housing starts
• Atlantic Canada saw a pullback after several strong months earlier in the year
• Quebec remains stable, with multi-family units leading activity

What This Means for You

For homebuyers and investors, the stabilizing trend in housing starts is a positive sign that supply may begin catching up with demand in the medium term.
However, most of the growth is concentrated in multi-unit builds, which means detached home inventory is still lagging. If you’re hoping for a drop in house prices — it likely won’t come from oversupply anytime soon.

Canada’s housing construction is shifting — see what’s behind it in