The annual pace of housing starts rose in September, but actual construction remains behind last year. Canada Mortgage and Housing Corporation (CMHC) reported on Friday, October 16, 2026, that the seasonally adjusted annual rate (SAAR) of total starts climbed 3% to 248,896 units, from 242,223 in August.
- Monthly SAAR, all areas: 248,896 units, up 3% from August.
- Six-month trend: 250,411 units, up 0.6% (CMHC calls it virtually flat).
- Actual starts in centres of 10,000+ people: 19,984 in September, down 11% from September 2025.
- January to September 2026: 170,964 actual starts in those centres, down 4% from the same period of 2025.
- Next release: October data on November 17, 2026.
What happened
The SAAR is a monthly figure scaled up to show what a full year would look like at that month's pace, so it moves around. CMHC's six-month trend smooths those swings, and it barely moved. Behind it, the trend for single-detached starts rose about 1% to 46,684 units, while all other types, mostly apartments and townhomes, were roughly flat at 203,728.
Regional trends diverged. In centres with 10,000 or more people, CMHC reported the trend down 11% in Quebec and 2% in Ontario, and up 5% in Alberta and 10% in British Columbia. Among the largest cities, Vancouver's trend rose 6% on multi-unit construction, Montreal's fell 8% and Toronto's was flat.
The pipeline is large. In centres of 50,000 or more, 371,617 units were under construction, about the same as in August, and 143,929 units had approved permits but had not yet started, up 1.1%. CMHC's detailed figures are in its monthly data tables.
What it means and who is affected
CMHC's deputy chief economist said the key risk now is building too little while housing markets soften, and that all seven major centres in the agency's supply report are behind their 2025 pace. CMHC also says affordability gains since 2023 will be hard to sustain without more construction.
Our interpretation: for buyers, starts today shape supply two to three years out, not prices this month. Pre-construction buyers in Quebec and Ontario may see fewer new launches, while Alberta and B.C. are adding more. Last month's building permits report showed a similar tilt toward multi-unit projects.
What to do next
If a new build is on your list, ask the builder for the expected completion window and what happens to your deposit if construction is delayed. Check whether a rebate on GST for new homes may apply to you with a new home GST rebate calculator, then confirm eligibility with the Canada Revenue Agency.
Sources
- Canada Mortgage and Housing Corporation, Housing starts and construction data for September 2026, 2026-10-16. Accessed 2026-10-17.
- Canada Mortgage and Housing Corporation, Monthly Housing Starts and Other Construction Data Tables. Accessed 2026-10-17.
General information only, not financial advice.
