Canadian Housing Starts Rise in September, but B.C. Markets Show Mixed Results

Canada’s housing construction activity picked up in September 2026, although starts remained below year-ago levels. In British Columbia, stronger monthly activity and growth in multi-family construction offered a more positive picture, while year-to-date figures showed significant differences across local markets.

Canadian Housing Starts Increase 3% in September

Canadian housing starts rose 3% month-over-month in September, reaching a seasonally adjusted annual rate (SAAR) of 248,896 units. Despite the monthly increase, starts were down 11% compared with September 2025.

In communities with populations of 10,000 or more, single-detached housing starts declined 6% year-over-year, while multi-family and other housing starts fell 12%.

The figures suggest that Canada's housing construction sector continues to face challenges, with activity remaining below last year's levels despite a modest monthly improvement.

British Columbia Sees Stronger Monthly Construction Activity

British Columbia recorded a 16% month-over-month increase in housing starts in September, reaching 53,365 units at a seasonally adjusted annual rate across all areas of the province.

In communities with populations of 10,000 or more, single-detached starts edged down 1% year-over-year, while multi-family starts increased 18%.

Overall, provincial housing starts were 43% higher than in September 2025, indicating stronger construction activity compared with the same month last year.

The contrast between single-detached and multi-family construction highlights the importance of looking beyond headline housing-start figures to understand how different types of housing are contributing to supply.

Housing Construction Trends Vary Across B.C.

Despite September's stronger provincial results, year-to-date housing starts varied considerably across British Columbia's major markets.

• Nanaimo: Housing starts increased 68% year-to-date.

• Abbotsford: Housing starts declined 49%.

• Kelowna: Housing starts declined 32%.

• Victoria: Housing starts declined 21%.

• Vancouver: Housing starts declined 3%.

These differences demonstrate that housing construction trends are not uniform across the province. Nanaimo recorded substantial year-to-date growth, while Victoria and several other markets remained below their year-ago levels.

For Victoria and the surrounding region, the 21% year-to-date decline is an important indicator to monitor. However, housing starts alone do not determine home prices or market conditions. Interest rates, construction costs, buyer demand, inventory, employment and the mix of homes being built also influence local real estate markets.

What This Means for the Housing Market

September's data presents a mixed picture for Canada's housing sector. Nationally, construction activity increased from the previous month but remained below September 2025 levels. British Columbia recorded stronger monthly activity, supported by growth in multi-family starts, while year-to-date results varied significantly between communities.

For prospective buyers, sellers and real estate investors, these figures provide useful context for understanding future housing supply. However, changes in housing starts should be considered alongside local sales activity, active listings, affordability and population growth before drawing conclusions about prices or market direction.

The bottom line: Canada's housing starts improved in September, and British Columbia posted stronger construction activity. Yet the divergent year-to-date results across B.C. reinforce the importance of evaluating housing trends at the local level rather than relying solely on provincial or national figures.