Articles tagged with "Forecast"

The One Delisle condo tower, currently under construction in Toronto, is set to become a significant addition to the city's skyline. The building starts with a boxy shape at the ground level and tapers into a fluted circle at the top. Recently, lighting tests were conducted on the exterior, previewing its future as a local landmark. The project is documented by UrbanToronto, which also offers research services and development tracking in the Greater Golden Horseshoe area.

Toronto is experiencing its lowest housing starts in 30 years due to declines in condominium construction, largely driven by reduced investor demand and high costs. Rental-apartment construction also decreased, although less sharply, and similar trends were observed in Vancouver due to high development charges and pre-sale requirements. Across Canada, while purpose-built rentals helped stabilize figures, overall homebuilding was flat with notable declines in major cities like Toronto and Vancouver. This poses risks to housing supply, workforce retention, and affordability, prompting calls for systemic changes in the housing sector.

The Canadian condominium market is struggling, with decreasing rents and sales, particularly in Toronto and Vancouver. Many condos, originally intended for investment rather than living, are now worth less than their mortgages, leading developers to cancel projects. This situation is exacerbated by poor architectural decisions and high interest rates. There is a growing call for reassessing housing regulations to facilitate smaller developers and focus on purpose-built rentals to address the housing crisis.

Toronto is facing a housing crisis as new home building activity has significantly declined, hitting a low not seen since 1996. The Canada Mortgage and Housing Corporation (CMHC) reports a 44% drop in building activity in the first half of 2025, with condominium starts plummeting due to decreased investor interest. Meanwhile, rental starts have also slipped, raising concerns over future affordability and economic impact. Despite Toronto's downturn, national housing starts remain close to 2024 levels, driven by growth in cities like Calgary, Edmonton, Montreal, and Ottawa.

A report by the Canada Mortgage and Housing Corporation reveals varying levels of construction activity across Canadian markets. Although some regions are experiencing increased construction, the overall building targets remain unmet. In particular, Toronto is witnessing a significant decline in residential construction activities. The report highlights continuing challenges in meeting housing demands across the nation.

Ontario's residential construction industry is experiencing its worst period in decades due to high taxation, rising costs, and restrictive government policies. This has led to falling housing starts and sales, job losses, and a potential decrease in GDP. The article calls for unified government action to lower taxes, development charges, and streamline approval processes to address the housing crisis. The Canadian federal government has made some tax changes to aid first-time homebuyers, but more comprehensive solutions are needed.

Bank of Canada Governor Tiff Macklem's recent speech in Mexico City outlined a repositioning of the central bank's approach, integrating housing demand into its inflation management strategy. Macklem emphasized that while monetary policy cannot increase housing supply, it directly impacts demand, thus influencing inflation. This new focus may constrain rate cuts, traditionally seen as a way to ease mortgage burdens, due to their potential to fuel housing inflation. The Bank now prioritizes scenario-based decision-making, acknowledging housing inflation risks as a critical factor in rate policy considerations.

In August, Toronto home sales experienced a modest rise supported by a surge in new listings; however, average selling prices dropped due to an abundant supply. The Toronto Regional Real Estate Board reported a 2.3% increase in Greater Toronto Area home sales from the previous year, with listings climbing 9.4%. Despite lower prices, affordability challenges persist, and further interest rate cuts could drive more home purchases. Notably, while detached home sales increased, apartment-condo sales fell significantly.

In August, home prices in the Greater Toronto Area faced downward pressure as the number of new listings exceeded the number of sales. This imbalance in the housing market has affected pricing trends. It highlights a trend where potential buyers have more options to choose from, impacting demand.

The Residential Construction Council of Ontario (RESCON) is organizing an online housing summit on September 24 to address the urgent housing crisis caused by cumbersome planning processes, high taxes, and regulatory challenges. Ontario's housing starts have significantly declined, exacerbating economic issues and causing job losses in the construction sector. The summit aims to gather insights from industry leaders and suggest policy changes to boost homebuilding. Key speakers include Ontario's Municipal Affairs and Housing Minister and senior economists, who will discuss strategies to address the low levels of new home and condo sales.

The Canadian government in Ottawa plans to launch a new office for major projects, aiming to mitigate the economic impact of U.S. policies under the Trump administration. The initiative intends to accelerate the completion of several key projects. This move seeks to bolster the Canadian economy by ensuring faster project realization. Announcements regarding these projects are expected in the coming days.

Ontario's housing construction sector is in a standstill, threatening the province's goal of building 1.5 million homes by 2031, according to the Housing Minister. A significant drop in new housing starts has been recorded, particularly due to reduced activity in the Toronto area. Discussions are ongoing to modify the criteria of the Building Faster Fund to better assess municipal permit issuance. This comes amid calls for government intervention following a drastic decrease in new home sales in Ontario.