Hol
Well-known
Carney’s housing boom campaign promise collapses following a CMHC report predicting a sharp decline in construction in Ontario and British Columbia, intensifying Canada’s affordability crisis amid soaring costs and regulatory hurdles.
Despite Prime Minister Mark Carney’s ambitious campaign pledge to ramp up housing construction to levels unseen since the Second World War, the latest data from the Canada Mortgage and Housing Corporation (CMHC) paints a different picture.
In its summer update, CMHC projects a cooling housing market through 2025, driven by trade tensions, economic uncertainty and rising unemployment.
Home prices are expected to dip by approximately 2%, while new construction slows amid high costs and weak demand.
Developers, squeezed by financing constraints and bureaucratic red tape, are delaying or cancelling projects altogether, particularly in Ontario and British Columbia, where housing growth is desperately needed.
CMHC notes that while multi-unit construction remains historically elevated, regional disparities are stark.
Atlantic Canada, the Prairies, and Quebec are seeing robust activity, but Ontario and British Columbia face sharp declines in housing starts.
High prices, rising construction costs, and low investor confidence are stifling new builds, especially condominiums. Many condo projects are being delayed, cancelled, or converted to rentals as developers miss presale targets and unsold inventory piles up.
Despite Prime Minister Mark Carney’s ambitious campaign pledge to ramp up housing construction to levels unseen since the Second World War, the latest data from the Canada Mortgage and Housing Corporation (CMHC) paints a different picture.
In its summer update, CMHC projects a cooling housing market through 2025, driven by trade tensions, economic uncertainty and rising unemployment.
Home prices are expected to dip by approximately 2%, while new construction slows amid high costs and weak demand.
Developers, squeezed by financing constraints and bureaucratic red tape, are delaying or cancelling projects altogether, particularly in Ontario and British Columbia, where housing growth is desperately needed.
CMHC notes that while multi-unit construction remains historically elevated, regional disparities are stark.
Atlantic Canada, the Prairies, and Quebec are seeing robust activity, but Ontario and British Columbia face sharp declines in housing starts.
High prices, rising construction costs, and low investor confidence are stifling new builds, especially condominiums. Many condo projects are being delayed, cancelled, or converted to rentals as developers miss presale targets and unsold inventory piles up.