Morning Brief: Budget 2026 drops homebuilding doubling target
By YorkNine Desk · · Market watch
Budget 2026 left out Ottawa's pledge to double the pace of home construction, though the housing minister's office says the goal stands. Moody's also sees fixed mortgage rates possibly rising in 2027.
Top lines
- Budget 2026 dropped the target of doubling homebuilding, but the housing minister's office says the goal remains (Canadian Mortgage Trends).
- The budget sets a new plan to triple non-market housing starts to 24,000 a year over the next decade (Canadian Mortgage Trends).
- Moody's Analytics says bond yields could push fixed mortgage rates higher in 2027, even with the Bank of Canada on hold (Canadian Mortgage Trends).
- The Globe and Mail profiles a large Kingsway corner condo with an east-facing balcony and two parking spots (The Globe and Mail).
Budget 2026 omits the pledge to double homebuilding
The federal budget tabled last week no longer mentions the Liberal goal of doubling the pace of home construction, according to The Canadian Press on November 11 (Canadian Mortgage Trends). The pledge came from the party's 2025 election platform and appeared repeatedly in that year's budget. This year's 511-page document instead lays out a plan to triple non-market housing construction, to 24,000 starts a year over the next decade.
The Canadian Press asked Housing Minister Gregor Robertson's office whether Ottawa had abandoned the broader goal. After repeated requests, the office pointed back to a May statement saying the government was still working toward doubling homebuilding over the decade. Non-market homes depend on government support to get built, and they make up only a small share of the units completed in a year.
Why it matters: The overall supply target influences how many new homes eventually reach GTA buyers and renters, and the budget's silence leaves its standing less clear than before. For a view of local supply, see homes for sale in Toronto, where YorkNine counted 11,251 active listings on November 11. These are asking prices of active listings, not sale prices or official board statistics.
Moody's sees fixed mortgage rates possibly rising in 2027
Moody's Analytics said in a new outlook, reported on November 10, that borrowing costs for fixed-rate mortgages may climb next year even if the Bank of Canada leaves its policy rate unchanged for most of 2027 (Canadian Mortgage Trends). The firm ties this to heavy demand for financing from governments and from companies investing in artificial intelligence, which is lifting bond yields. Lenders treat those yields as a main reference point when they set fixed rates.
The report expects higher costs to dampen housing demand after the market lost momentum in the third quarter. It noted that national resales slipped 2.3% from August to September. Moody's has also trimmed its home price forecast, though it still anticipates modest gains, with Toronto and Vancouver trailing other markets.
Why it matters: Owners with a renewal ahead and buyers weighing fixed against variable terms can test different rates in the mortgage calculator and talk to a licensed mortgage professional. This is one firm's outlook, not a certainty, and rates may move in either direction.
Kingsway corner condo with two parking spots draws attention
The Globe and Mail reported on November 11 on a large corner condo in the Kingsway area of Toronto, close to the Humber River and the Old Mill Inn. The unit has a balcony facing east and comes with two parking spots (The Globe and Mail).
Why it matters: The profile covers a single home and says little about the wider market, but a corner position and two parking spaces are the kind of detail buyers weigh when comparing Toronto condos. For context, the median asking price of active Toronto condo apartment listings was $589,000 on November 11, based on YorkNine's snapshot of asking prices. Browse condos in Toronto to compare layouts and amenities.
By the numbers: YorkNine listings pulse
City · Active homes for sale · New for-sale listings (last 7 days) · Median asking price · Median days listed
Toronto · 11,251 · 1,172 · $777,777 · 41 Mississauga · 2,645 · 227 · $845,000 · 42 Brampton · 1,779 · 180 · $869,900 · 40 Vaughan · 1,457 · 152 · $999,900 · 42 Markham · 1,333 · 130 · $969,990 · 43 Oakville · 1,094 · 102 · $1,398,000 · 42
Source: YorkNine analysis of active public MLS® listings (IDX) on 2026-11-11. Asking prices of homes currently for sale, not sale prices; not official board statistics.
Sources
- Budget 2026 shifts Liberal government’s language on home construction targets — Canadian Mortgage Trends, 2026-11-11
- Luxury Kingsway condo buyer takes $25,000 off the top — The Globe and Mail, 2026-11-11
- Fixed mortgage rates could rise in 2027, Moody’s says — Canadian Mortgage Trends, 2026-11-10
- YorkNine analysis of active public MLS® listings (IDX), 2026-11-11. Asking prices of homes for sale; not official board statistics.
This article is general information, not financial, legal, tax or investment advice. Speak with a licensed professional about your situation. Statistics attributed to other organisations are theirs. Images are AI-generated and do not show the actual places, people or events reported.
MLS®, Multiple Listing Service® and the associated logos are trademarks owned or controlled by The Canadian Real Estate Association (CREA) and identify the quality of services provided by real estate professionals who are members of CREA. REALTOR® is a trademark controlled by CREA that identifies real estate professionals who are members of CREA.
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