Canada’s housing starts rose 30% in April, led by urban multi-unit builds. CMHC flags growth in Quebec and Prairies amid ongoing economic uncertainty.
Urban Momentum Drives April Housing Boom in Canada
Canada’s home construction sector surged in April, offering a potential boost to the housing market as affordability remains out of reach for many. According to new data from the Canada Mortgage and Housing Corporation (CMHC), the number of housing starts jumped by 30% compared to March—marking one of the strongest monthly increases in recent memory.
Total Housing Starts Reach 278,606 Units
CMHC reported a seasonally adjusted annual rate of 278,606 housing starts in April, up significantly from 214,205 in March. A “unit” encompasses any type of residential dwelling—from a single apartment within a duplex to standalone homes and high-rise condominiums.
Cities Lead the Way, Especially Multi-Unit Builds
The spike was driven primarily by urban centres—particularly cities with populations over 10,000—and multi-unit developments such as duplexes, condos, and apartment buildings. In these urban areas, housing starts increased by 28% month-over-month and by 17% compared to April 2024.
Montreal Sees Major Spike, Toronto Lags Behind
Among major cities, Montreal recorded a staggering 64% increase, making it the top contributor to the national rise. Vancouver saw a modest 6% gain, while Toronto experienced a 25% decline, reflecting regional disparities in development activity.
“The increased starts activity in April was driven by increases across all housing types in Quebec and the Prairie provinces,” said Kevin Hughes, CMHC’s deputy chief economist. He also noted that Ontario and British Columbia recorded year-over-year declines despite the broader national surge.
Rural Housing Starts Nearly Double
April’s construction boom wasn’t limited to cities. Rural regions also saw a substantial lift, with housing starts rising from 10,870 in March to 18,818 in April.
Economic Uncertainty Still Clouds Outlook
While the uptick in construction is a welcome development, especially amid Canada’s deepening housing shortage, economic headwinds continue to loom large. Ongoing trade tensions and inflation have prompted many Canadians to delay major purchases, including homes.
“The current economic uncertainty will have consequences for the supply and demand of new housing,” said Hughes. “CMHC will be monitoring these effects closely over the coming months.”
Stay tuned to Maple News Wire for more housing updates and expert insights.
