Canada's Biggest Cities Face 'Deeper' Housing Crisis, Industry Fears

Rental rates have seen a large spike in recent years, and the experts say it’s because of increased demand. Many would-be buyers have to stay longer in rental housing, due to high house prices, putting upward pressure on rental rates.

At the same time, Canadian population growth has heated up to the fastest rate in decades, with the federal government hiking immigration levels to above 300,000 in recent years. The target is expected to rise again to 350,000 by 2021. Add to that natural population growth, and Canada is adding half a million residents per year.that Toronto would need to double the amount apartment construction to keep up with population growth.Policymakers have taken some steps to address the issue.

At the provincial level, both Ontario and British Columbia are moving forward, to some degree, with plans to allow more densification. The Ontario government got rid of the previous Liberal government’s rent controls, in an effort to get more rentals built, but the data suggests that neither the provincial Liberals’ rent controls, nor the current Progressive Conservative government’s removal of them, had any effect on rental construction levels.

Perhaps not surprisingly, developers and institutional real estate investors say it’s too difficult to build housing. In many cities, it takes three to four years just to get the permits and approvals needed to build; NIMBYism limits where you can build; and in some places, there’s a shortage of land that’s ready for development.“The demand for this product is unbelievable,” said Alf Hendry, CEO of Homestead Land Holdings, at the Toronto forum.

So if you can’t afford to buy a home, it might make sense to just buy shares in a publicly traded apartment rental company. The returns might help with your soaring rent payments.

Time to do something constructive. If everyone knew how much there landlords mortgages are compared to what they charge we would have mayhem. I was told in my are 800 to 1400 month for 3 bed.

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