Canada's annual housing starts rose 4.5% in February to 250,900 units, with a nearly flat six-month trend indicating steady new construction despite monthly fluctuations. Year-over-year starts increased 10% in centers with populations over 10,000. Construction rose 5% in early 2026, driven by higher starts in B.C. and Ontario, offsetting a 28% decline in Toronto. Vancouver and Montreal saw significant increases. However, overall starts have been cooling since September 2025 due to weak population growth, high costs, unsold inventories, and weak pre-sales.