Projections for new home construction in Ontario slowing yet again
Written by The Canadian Press on November 6, 2025
TORONTO — Ontario is lowering projections for new home construction levels in its fall economic statement today, putting the government further away from its goal of building 1.5 million homes in 10 years.
It is the third consecutive budget or fall economic statement in which projections have been revised downward, and Municipal Affairs and Housing Minister Rob Flack has recently appeared to back away from the 1.5 million homes goal.
In the spring budget, the province expected to see 71,800 homes built this year – still far off the pace needed to reach 1.5 million, but now it projects 64,300.
Projections for the next few years are also low, with 70,200 new homes expected next year, 79,600 projected in 2027 and 83,700 expected in 2028.
The government says in the fall economic statement that the negative effects of tariff-related uncertainty and material cost increases on homebuilding are contributing to the slowdown.
Ontario home resales are also projected to decline eight per cent this year, before bouncing back by 10.2 per cent next year.
This report by The Canadian Press was first published Nov. 6, 2025.
Allison Jones, The Canadian Press