Actual housing starts in Canada’s large urban centres dropped 17% year-over-year in February, according to Canada Mortgage and Housing Corporation (CMHC).

A total of 14,459 units were launched in centres with populations of 10,000 or greater, down from 17,454 in February 2024, said CMHC in its monthly report.

The seasonally adjusted annual rate (SAAR) of total housing starts for all areas in Canada fell 4% in February to 229,030 units, down from 239,322 in January. The SAAR for housing starts in urban centres declined by 5% to 209,784 units from 220,074 the previous month. Rural housing starts were estimated at a monthly SAAR of 19,246 units.

Despite these reductions, the six-month trend measure of housing starts, which provides a smoother outlook by averaging SAAR data, rose by 1.1% in February to 239,382 units.

Among Canada’s three largest cities, Montreal saw a 6% year-over-year increase in actual housing starts, with gains in both multi-unit and single-detached categories. In contrast, Toronto recorded a whopping 68% drop, while Vancouver experienced a sharp 48% decline, both driven by decreases in multi-unit and single-detached starts.

Photo: CMHC