Last month, we were concerned housing starts declined 20% Jan to June 2026 in Greater Victoria. This month it’s worse.
According to CMHC, year- to-date, (Jan to July 2026) Greater Victoria has posted 2,038 new homes, a 30% decrease from the 2,920 last year (Jan to July 2025).
Year to date, CMHC’s report shows 161 single family homes, 256 row/townhomes/duplexes, etc, and 1,621 apt/condos.
The bellwether for housing supply in Greater Victoria is Langford, which is down 61% to 420 from 1,066 new homes last year. For decades, Langford has been a model of consistency offering homes of all types – single family, townhomes, apt/condos. However, a combination of rising costs, softening sales, and a much more obstructive municipal council/administration are leading to declining housing starts.
Saanich is down 51% from 571 last year to 281 in 2026, which is not a surprise given their reputation for high costs and regulatory obstruction.
Colwood has a relatively modest 8% decline posting 316 new homes this year vs 344 last year.
Victoria leads in starts at 841 this year, however for the second month in a row, there were zero starts. The vast majority are condos of which 640 were in one month – April.
We have previously said Bill 44 enabling small multis in single family zones has been the bright spot in the housing picture. That bright spot has been eliminated as small multis such as new townhomes, duplexes, etc have declined 23% vs last year.
Alarm bells should be going for municipal, provincial and federal politicians. However, many are acting business-as-usual ratcheting up DCCs, fees and regs while ignoring growing red tape for permits.
There is an opportunity to change the political landscape on BC’s municipal Election Day October 17.
The Ministry of Housing and Municipal Affairs appears to be indifferent. The BC govt’s claims to support housing affordability are not credible when they approve DCC bylaw increases of 258% as they did in Victoria, as well as the CRD’s recent DCC increase of up to $9,044 per new home while the board ignored industry’s study on the impact on housing.
VRBA’s Crystal Ball Housing Forecast held January 14, 2026 anticipated a slowdown in 2026, partly due to the highest supply of unsold units in 35 years. For those considering a new home, now is a good time to be talking to builders. Visit VRBA’s Expression of Interest.