OTTAWA, ON – The six-month trend in housing starts was virtually flat in May, with a slight increase of 0.5% to 258,010 units, according to Canada Mortgage and Housing Corporation (CMHC). The trend measure is a six-month moving average of the seasonally adjusted annual rate (SAAR) of total housing starts for all areas in Canada.
Monthly Housing Starts Decline Year-Over-Year
Actual monthly housing starts were down 5.2% year-over-year in centres with a population of 10,000 or more, with 22,633 units recorded in May, compared to 23,879 units in May 2025. The year-to-date total was 93,644 units, up 3% from the same period in 2025, driven by higher starts in British Columbia and Ontario, outweighing year-over-year decreases in the Prairies.
SAAR and Under Construction Data
The total monthly SAAR of housing starts for all areas in Canada decreased 6% in May (261,377 units) compared to April (278,380 units). The number of units under construction in centres with a population of 50,000 or more rose 0.9% month-over-month to 374,662 units in May. Completions also increased, with construction finished on 16,880 units, up 10.6% compared to April. The number of units with approved building permits but not yet started fell 2.4% month-over-month to 138,842 units in May.
CMHC Deputy Chief Economist Comments
“May’s data showed mixed results. Year-to-date housing starts are slightly up from last year, and the monthly starts trend was basically flat, while units under construction and completions increased. Overall, these results suggest that construction activity is uneven and taken together with the decline of approved units not yet started and market intelligence point to weaker momentum for future supply,” said Aled Ab Iorwerth, Deputy Chief Economist at CMHC.
Key Facts
- The rural starts monthly SAAR estimate was 14,357 units.
- Among Canada’s three biggest CMAs, Montreal posted a 18% year-over-year increase in actual housing starts this month driven by higher multi-unit. Vancouver recorded a 7% decrease due to lower multi-unit starts while Toronto starts decreased 12%.
About the Data
Monthly Housing Starts and Other Construction Data are accessible in English and French on the CMHC website and the CMHC Housing Market Information Portal. Housing starts data is available on the eleventh business day each month. The June housing starts data will be released on July 16 at 8:15 AM ET. CMHC uses the trend measure as a complement to the monthly SAAR of housing starts to account for considerable swings in monthly estimates and to obtain a clearer picture of upcoming new housing supply.
For 80 years, CMHC has been the foundation of Canada’s housing system, promoting stability and sustainability. CMHC’s mortgage insurance products support access to home ownership and the creation and maintenance of rental supply. CMHC research and data help inform housing policy.
