We present a study of the thickness dependence of magnetism and electrical conductivity in ultrathin La0.67Sr0.33MnO3 films grown on SrTiO3 (110) substrates. We found a critical thickness of 10 unit cells below which the conductivity of the films disappeared and simultaneously the Curie temperature increased, indicating a magnetic insulating phase at room temperature. These samples have a Curie temperature of about 560 K with a significant saturation magnetization of 1.2±0.2μB/Mn. The canted antiferromagnetic insulating phase in ultra thin films of n<10 coincides with the occurrence of a higher symmetry structural phase with a different oxygen octahedra rotation pattern. Such a strain engineered phase is an interesting candidate for an insulating tunneling barrier in room temperature spin polarized tunneling devices.