Canadian Housing Starts Rise 11% in December
Housing starts up 5.6% in 2025 from 2024
On Friday, the Canada Mortgage and Housing Corporation (CMHC) reported that the seasonally adjusted annual rate (SAAR) of housing starts rose 11% in December to 282,439 units, compared with 254,625 units in November.
Year-over-year, actual housing starts in centers with populations of 10,000 or greater increased 25% in December to 20,716 units, up from 16,531 units in December 2024. This marks the most actual housing starts for December on record, primarily driven by increases in Ontario, which had its highest monthly starts total of 2025.
The six-month “trend” in housing starts was flat, edging down 0.1% in December to 264,428 units. The trend measure is a six-month moving average of the SAAR of total housing starts for all areas in Canada.
Nationally, the housing starts total for all areas in Canada in 2025 was 259,028, the fifth highest annual total on record and up 5.6% compared to 2024 (245,367). Actual 2025 housing starts in centers with populations of 10,000 or greater were up 6%, with 241,171 units recorded, compared to 227,697 in 2024. These increases were driven by a second consecutive year of record rental housing starts which made up just over half of all housing starts in urban centers.
In remarks accompanying the release, CMHC Senior Vice President of Housing Insights and Chief Economist Mathieu Laberge said:
“While housing starts in 2025 finished ahead of 2024 and inched up in December, most of the momentum in housing construction occurred in the spring and summer. Since September, the trend in housing starts has consistently decreased. In 2025, economic uncertainty and the diminished viability of large residential towers encouraged a shift towards smaller-scale projects. As such, housing starts are beginning this year from a weaker position and market intelligence suggests slowing momentum for residential construction. These trends, along with geopolitical and trade uncertainty, remain top of mind as we expect to release an updated Housing Market Outlook in February.”
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