
Federal News
Bank of Canada Maintains Overnight Rate at 2.25%
On January 28, the Bank of Canada announced it will maintain the current overnight rate at 2.25%, citing ongoing economic uncertainties and moderate inflation trends. The decision reflects the Bank's cautious approach to monetary policy amid mixed economic signals. The next policy rate announcement is scheduled for March 18, when the Bank will reassess its position based on the latest economic data and projections.
Government of Canada Introduces the Build Canada Homes Act
On February 5, the Government of Canada unveiled the Build Canada Homes Act, a comprehensive legislative initiative to address the nation's housing shortage and affordability crisis. This act focuses on accelerating housing construction by reducing red tape, offering financial incentives, and supporting the development of affordable housing units. The goal is to deliver 50,000 new homes annually over the next decade, particularly targeting underserved communities and low- to middle-income families.
Cornerstone and CREA have continued to advocate for market-rate housing to be included in Build Canada Homes initiatives.
Housing Market Outlook 2026
CMHC has released their 2026 Housing Market Outlook. Below are CMHC’s highlights from each region
GTA
- After reaching a 25-year low, sales are expected to increase in 2026 due to improving affordability and a resilient economy. However, activity will remain below historical averages.
- Available resale inventory in 2026 should comfortably meet demand, leading to a decline in the average price.
- Total housing starts are anticipated to decline in 2026 due to lower condominium starts, but strong rental construction will partially offset this drop.
Hamilton
- Sales are expected to pick up as trade uncertainty fades and the economy adjusts, but balanced market conditions won’t return until 2027.
- Total housing starts are expected to decline in 2026, yet strong rental starts will mitigate an expected decline in condominium construction, marking a significant shift in the region.
- The housing market has performed better than expected since our summer update.
Waterloo Region
- Improving affordability will support an increase in home sales, but sales will remain low as weak population growth and economic uncertainty weigh on demand.
- The average price is expected to be flat, which is a departure from our summer update. However, price growth is expected in 2027 and 2028 as the market returns to balance.
- Housing starts are set to decline from recent high levels, mainly due to a slowdown in the condominium apartment segment.

Provincial News
Cornerstone Engages with Premier Ford at Mississauga Board of Trade Event
Cornerstone recently attended the Mississauga Board of Trade event featuring Premier Ford. At the event, we had the opportunity to talk with him and thank him for the progress of his government. In his speech, the Premier said he is hopeful that the HST will soon be removed for all buyers of new homes. This would be an important step toward getting more homes built in Ontario and improving affordability.
We have regularly raised concerns about extra costs on homes with all levels of government and hope this will lead to action soon. It was also great to connect with Minister Nina Tangri, Mayor Parrish, and Ward 2 Councillor Alvin Tedjo, as well as other MPPs and Councillors in attendance.




Cornerstone Commends RECO Leadership for Full Commission Payment Announcement
Cornerstone commended Minister Crawford and RECO Administrator Jean Lépine for their groundbreaking announcement of full commission payments for those affected by the iPro Realty matter. Through clear and consistent advocacy with Minister Crawford, his team, and Administrator Lépine, Cornerstone has emphasized the need for RECO reform and immediate financial relief for those affected by the iPro Realty matter. Cornerstone has continued to meet with Minister Crawford, Administrator Lépine, and both their teams over the past month.
On January 20, Cornerstone engaged with Minister Stephen Crawford at the Albany Club, where he addressed the Real Estate Council of Ontario, AI implementation in government, and the pursuit of new efficiencies. The dialogue also covered RECO reform and progress on the iPro Realty matter, with Minister Crawford providing ministerial insights, followed by a brief discussion with Administrator Lépine.
On January 27, Cornerstone participated in RECO’s first Collaboration Summit, bringing together real estate boards and industry professionals from across Ontario. The summit focused on open dialogue and discussion on annual financial filings, trust account oversight, and the insurance program.
On January 30, Cornerstone met with RECO Administrator and Acting CEO, Jean Lépine, and his team. The discussions focused on rebuilding trust in Ontario’s real estate regulator for both consumers and registrants. Key topics included oversight, enforcement, transparency, and education. Cornerstone is grateful for Jean's time and looks forward to raising the bar on professionalism together.
Cornerstone will continue to engage with the government as it explores important reforms.


Cornerstone's Pre-Budget Submission
On January 20 and 26, Andrea Fedy, Cornerstone Director and Provincial/Federal Advocacy Committee member, presented a pre-budget submission to the Standing Committee on Finance and Economic Affairs and to Parliamentary Assistant Michelle Cooper. The presentation and our written submission emphasized the need to remove the 8% provincial portion of the HST for all new home buyers and to provide support to offset municipal development charges to make homeownership more affordable. The first submission also called for the full recovery of commissions due to the iPro Realty matter.

Upcoming Event: Protecting the Dream of Homeownership in Ontario
Don't miss the opportunity to join the Empire Club of Canada for an insightful event featuring Ontario’s Minister of Municipal Affairs and Housing, Minister Rob Flack. The event will be held on February 17 at 11:30 am in Toronto. A virtual option is also available.

Municipal News
Halton Region
City of Burlington
Cornerstone Attends Burlington Mayor's State of the City Breakfast
Representatives from Cornerstone recently attended Mayor Marianne Meed Ward’s State of the City Breakfast, hosted by the Burlington Chamber of Commerce. The event provided valuable insights into the Mayor’s priorities for 2026, which include reducing traffic congestion, improving quality of life for residents and visitors, and collaborating with local businesses and developers. Mayor Meed Ward also highlighted the Elect Respect campaign, emphasizing the importance of civility and respect for public office holders.


New Zoning Bylaw and Development Charges
Cornerstone Director and Local Advocacy Committee Chair, Sandra Longden, recently presented to Burlington City Council to support the city-wide residential zoning bylaws. The proposed changes simplify the city’s zoning bylaw and include more options for Additional Residential Units (ARUs) and increased density. Additionally, Cornerstone submitted a detailed letter to the Council advocating for the temporary elimination of residential Development Charges to stimulate the housing market, protect jobs, and make homeownership more attainable for families in Burlington.

Faster, Smarter, Simpler: Transforming the Site Plan Process
The City of Burlington is investigating changes to the planning approval process that would speed up development by reducing the need for resubmissions, guaranteeing approval within 60 days, clarifying requirements, and implementing a concurrent building permit review where possible. The Pipeline to Permit committee will hear the report on February 12.
Hamilton
Safe Apartment Buildings By-Law Presentation
On January 14, Cornerstone attended a meeting hosted by the Hamilton and District Apartment Association (HDAA) to hear from city staff about the new Safe Apartment Buildings By-law, which came into effect on January 1. Key points discussed included: annual registration requirements for buildings with two or more storeys and six or more rental units that share a common area; evaluation scoring and subsequent inspection frequencies; consistent building standards; and detailed procedures for Tenant Service Requests (TSR) to ensure timely responses to urgent and non-urgent issues.


Niagara Region
Town of Grimsby
Update on Grimsby Official Plan Consultation
The Town of Grimsby is in the final stages of reviewing its Draft Official Plan: Envision Grimsby 2051. As part of this process, there are four key opportunities for public engagement:
- Open House:
- Date: February 12
- Time: 6:00 pm to 8:00 pm
- Location: Town Hall Atrium, 160 Livingston Avenue
- Grimsby Chamber of Commerce:
- Date: February 19
- Time: 8:30 am to 9:30 am
- Location: Elizabeth Street Pumphouse 447 Elizabeth Street
- Public Meeting:
- Date: February 23
- Time: 6:00 pm
- Location: Town Hall, 160 Livingston Avenue and via Zoom
- Please register with grimsbyop@grimsby.ca to attend via Zoom.
- Written Comments:
- Written comments can be submitted to the Town of Grimsby, Planning Department at 160 Livingston Avenue, or via email at grimsbyop@grimsby.ca.
Mayor’s Annual Business Breakfast
On February 26, the Town of Grimsby will host its Mayor’s Annual Business Breakfast at the LiUNA Training Centre.
Norfolk County
Municipal Accommodation Tax
On February 10, Norfolk County Council-in-Committee voted 5-4 to move ahead with a proposed Municipal Accommodation Tax (MAT) in principle, which would add a 4% tax on short-term overnight stays. In addition to the MAT, a Municipal Development Corporation would be established along with a short-term rental policy. This will be ratified at the February 24 Council meeting, and on March 10, a business case will be presented for the Municipal Development Corporation.
Cornerstone Chair-Elect, Drew Hemsley, submitted a letter to Council requesting that they carefully consider this matter, citing concerns that the MAT could potentially discourage visitors, and that a short-term rental policy would add red tape and extra fees, which may cause some operators to opt out of renting their cottage or Airbnb.
Peel Region
Development Charge Reduction Extension and Expansion
On January 22, Peel Region created additional grants to cover Development Charges for purpose-built rentals and extended the deadline for other programs.
City of Mississauga
Mississauga Board of Trade Events
In addition to the aforementioned event with Premier Ford, Cornerstone sponsored the Mississauga Board of Trade event with Minister Flack on January 22. The Minister spoke about Development Charges, the Region of Peel water and wastewater pilot, and removing the HST for first-time homebuyers. Cornerstone had the opportunity to thank the Minister after his remarks and raised the need for the HST to be removed for all new home buyers. Cornerstone also connected with Minister Nina Tangri, MPP Rudy Cuzzetto, MPP Deepak Anand, MPP Sheref Sabawy, and MPP Silvia Gualtieri at the event.




State of the City
Mississauga’s State of the City will take place on March 24 at 11 am at the Ikon Event Space.
Tiny Homes Tours
Mississauga is offering tiny home tours at Celebration Square from February 16 to April 19 in partnership with Habitat for Humanity Halton-Mississauga-Dufferin to showcase locally built tiny homes and the opportunities available for ADUs in Mississauga.
Structural Phase Completed for new Health Centre
In January, the structural phase of construction was completed at the Trillium Health Partners’ Gilgan Family Queensway Health Centre. Substantial completion is expected in 2029, with occupancy to follow subsequently.
Waterloo Region
Water Capacity in Waterloo Region
The Region of Waterloo recently announced funding for a fast-tracked solution to address the water capacity constraints in the Mannheim Service Area. This proactive pilot at the Mannheim Water Treatment Plant is a crucial step toward ensuring the region can support continued growth and development.
Cornerstone has been monitoring the response to the issue, and we will be receiving more regular updates through participation in the region’s new Water Supply Industry Stakeholder Group.
For the time being new development application approvals are still paused, but the region has reiterated that current homes are not at risk of running out of water.
Waterloo Region Home Builders' Association Networking Lunch
On January 20, Cornerstone attended the Waterloo Region Home Builders' Association Networking Lunch and heard from Waterloo EDC's Tony LaMantia, who provided a local economic update. Mayors Berry Vrbanovic and Dorothy McCabe, as well as Region of Waterloo Councillor Colleen James, shared updates on the water capacity challenges.


Vision 1 Million Event and Transportation Roundtable
On February 4, Andrea Fedy, Cornerstone Director and member of the Provincial/Federal Advocacy Committee, participated in a roundtable discussion with Minister Prabmeet Sarkaria. At the event, hosted by the Greater KW Chamber of Commerce, Andrea reiterated the need for continued investment in local transportation infrastructure.
The subsequent event focused on transportation issues in Waterloo Region, including Phase 2 of the LRT, All Day 2 Way GO service, and the Highway 7 extension.


City of Cambridge
Cambridge City Council Approves Form-Based Zoning
On February 3, Cornerstone Director Christal Moura presented at a Cambridge City Council meeting to support the proposed Form-Based zoning. After a thorough discussion, the Council approved the zoning changes, which will simplify the process for building new housing in Cambridge and allow for more diverse housing options.
During the delegation, Christal also raised a concern about the extended driveway lengths being proposed. The required length for new home driveways was adjusted from 6m to 7m, in contrast to the 8m that was initially suggested. Cornerstone had advocated for retaining the 6m standard, consistent with most Ontario municipalities, as longer driveways complicate new home construction.
Event Recap: Cambridge Chamber of Commerce City Manager’s Breakfast
On January 16, Cornerstone representatives attended the Cambridge Chamber of Commerce City Manager’s Breakfast. During the event, City Manager Rob Axiak discussed his three main priorities since joining the city: managing operations, engaging with the public and business community and working with elected Officials on governance. Rob Axiak is also focused on the city's budget, setting ambitious goals to boost economic development. The event also provided an opportunity to reconnect with MP Connie Cody.




City of Kitchener
Kitchener 2051 Pop-ups
The City of Kitchener is hosting Kitchener 2051 Pop-Ups, a series of community events designed to gather input on the future growth and development of the city. The events will be held as follows:
- Doon Pioneer Park Community Centre
- Date: Tuesday, February 24
- Time: 4 PM - 7 PM
- Victoria Hills Community Centre
- Date: Wednesday, February 25
- Time: 4 PM - 7 PM
- Bridgeport Community Centre
- Date: Thursday, February 26
- Time: 4 PM - 7 PM
City of Waterloo
Rental Renovation and Tenant Support
The City of Waterloo recently approved the creation of a Rental Renovation Licensing Program, which will require landlords to obtain a licence when issuing an N13 notice. The city has also created a Tenant Support Fund to assist tenants requiring legal guidance or advocacy services related to eviction.
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