Ottawa’s Housing Data Shows Both Approvals and Economics Matter

 

OTTAWA, ON – May 21, 2026 – The Greater Ottawa Home Builders’ Association (GOHBA) says two newly released City of Ottawa housing reports highlight the economic realities affecting housing construction across Ottawa and reinforce that housing supply depends not only on approvals, but also on whether projects are financially feasible to build.

 

The City’s Q4 2025 Housing Approvals Dashboard and a new Development Feasibility Analysis prepared for the City by Bloomberg Associates both point to the same conclusion: Ottawa continues to see housing growth, but economic and structural challenges are making it difficult to take full advantage of approvals.

 

The City of Ottawa issued permits for 9,562 new dwellings in 2025 and recorded 9,524 housing starts – a 40 per cent increase in starts over 2024 and one of the strongest year-over-year performances among major Canadian cities.

 

“These numbers demonstrate that Ottawa’s builders are continuing to move projects forward, even in one of the most difficult housing markets in decades,” said Jason Burggraaf, GOHBA’s Executive Director.

 

The Housing Approvals Dashboard shows that nearly 70,000 housing units are currently progressing through Ottawa’s development pipeline at various stages of planning, approvals, permitting, and construction.

 

The Development Feasibility Analysis identifies widespread feasibility challenges across housing typologies and submarkets in Ottawa as construction costs remain historically elevated, timelines can significantly increase financing and carrying costs, and high interest rates continue to undermine project viability.

 

The analysis also noted that projects moving forward in today’s market often rely on unique circumstances, including lower historical land costs, favourable financing arrangements, or other project-specific conditions.

 

“These reports reinforce that both approvals and economics matter,” said Burggraaf. “Housing supply is not driven by approvals alone, but the policy environment is a factor in whether projects are economically viable to finance and construct.”

 

GOHBA has previously commended the City’s Housing Acceleration Plan for improving feasibility by deferring development charge payments to occupancy, reducing certain municipal charges, and streamlining some approval processes.

 

“These reports provide a useful snapshot of the complexity of the housing system and the many factors that affect whether housing projects can move forward,” said Burggraaf.