CMHC report predicts Canadian home prices will skyrocket through 2026

By: 600011 On: Apr 5, 2024, 1:14 PM


The Canada Mortgage and Housing Corporation predicts that housing prices in Canada will peak by 2026. According to the CMHC Housing Market Outlook report, housing construction will increase and accelerate in 2025 and 2026. The report states that house construction will decrease this year.

The report notes that 137,915 new units started construction in Canada's six largest cities last year. In 2023, despite an increase in rental housing in the market, supply did not keep pace with demand. This results in higher rents and lower vacancies in the coming years, the report said.

Sales levels from 2025 to 2026 will slightly exceed the average of the past 10 years, but will remain below the record levels recorded between 2020 and 2021 as home buying becomes more expensive, the CMHC report said.(