Quebec and B.C. multi-family development projects drove a nationwide rise in all types of housing starts in January, says a news Canada Mortgage and Housing Corporation report.

Multi-unit housings starts climbed 8% in large Canadian cities (populations of 10,000 or more) in January.

The seasonally adjusted annual rate (SAAR) of housing starts across all areas in Canada rose 3% to 239,739 units in January, up from 232,492 units in December. Meanwhile, the six-month trend in housing starts declined by 2.5% to 236,892 units.

“Both the monthly SAAR and actual housing starts increased in Canada’s urban centres in January,” said Tania Bourassa-Ochoa, CMHC’s deputy chief economist.

“While these increases show early signs of progress to begin the year, foreign-trade risks add significant uncertainty for housing construction going forward,” she added, referring to U.S. President Donald Trump’s looming 25% tariffs on imports from Canada and potential retaliatory measures.

Among Canada’s three largest cities, Montreal recorded a 112% year-over-year increase in actual housing starts, while Vancouver saw a 37% rise, both driven by strong growth in multi-unit developments. In contrast, Toronto experienced a 41% decline, largely due to a drop in multi-unit starts.

Bourassa-Ochoa noted that CMHC’s 2025 outlook projects a slowdown in housing starts between 2025 and 2027, mainly due to expected declines in condominium-apartment construction.