Housing starts in Canadian major markets fell 3% year-over-year in November, says a new report from the Canada Mortgage and Housing Corporation.

Actual housing starts in centres with populations of 10,000 or more declined to 21,870 units compared with 22,501 in November 2024. That marked the second-straight 3% drop in actual starts.

“Both the six-month trend and actual starts fell in November, showing signs of slowing momentum in residential construction, said Kevin Hughes, a CMHC deputy economist. “This was driven by lower monthly starts in Ontario, B.C., and Alberta.

“However, on a year-to-date basis, starts are still elevated compared to last year and remain on pace to surpass the 2024 total. Regional differences are driving this outcome, with Ontario and BC below their 2024 housing starts levels, while the Prairie provinces, Québec and the Atlantic provinces have all pushed national year-to-date starts higher.”

Hughes and other CMHC deputy economists have been pointing in recent months to a likely slowdown in housing-construction starts in 2026.

Among Canada’s largest cities, Montreal continued to post gains in November due to higher multi-unit and single-detached home starts, experiencing a 24% year-over-year rise following a 104% surge in multi-unit activity in October. Vancouver recorded 1% decrease year-over-year, performing much better following a 36% yearly decline in October due to fewer multi-unit starts. Toronto saw an 11% year-over-year decline, also because of a drop in both multi-residential and single-detached construction activity. But that showing was considerably better than a 42% year-over-year drop, due to reduced construction of the same two asset types.

The six-month trend in housing starts declined 1.7% to 264,445 units, as activity picked following a 3% year-over-year fall in October.

Year-to-date starts climbed 4% in November from the same period in 2024, rising to 219,077 units.

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