Industry Lens: Residential Construction—November 2025

Industry Lens: Residential Construction—November 2025

Industry Economic Analysis
14 min read

Author: Robin Wiebe

$985.00

This report examines the short- and medium-term economic and profitability outlook for Canada’s residential construction industry.

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Challenging Times Ahead

Canada’s residential construction industry is facing multiple difficulties, including an uncertain economy, abruptly weakening demographics, capacity constraints, and high backlogs of unsold homes. These threaten profits and may ruin some homebuilders just as Canada needs more dwellings. The industry will need to innovate to surmount its hurdles.

What are our predictions for the industry and homebuilders over the next five years? Why is Ontario the main culprit for weak starts, which have fallen for four consecutive years—the worst performance of any province. What remedies do we propose for the industry?

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