How tech hubs are transforming the housing market

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Tech sector layoffs complicate the housing landscape, but demand stays resilient

Canada’s real estate markets face volatile economic pressures, but the crosswinds appear especially strong in technology-centred communities such as Vancouver, Waterloo Region and Windsor, Ont.

“Young tech workers have an urban focus. We recognized that from a planning perspective and developed an LRT system which opened in 2019 and that led to a dramatic shift in housing types,” says Kevin Eby, former director of community planning for the Region of Waterloo. “It may seem like the market is sending mixed signals,” says Mr. Bolger. “We’ve seen a softening in demand, but on the other hand, the market remains resilient, buoyed by an ongoing influx of new talent attracted to the region’s strong tech ecosystem and the expansion of other companies eager to tap into the available workforce.

To complicate the picture, “we also have had an influx of people from the GTA as well as an exodus from here to other places during the pandemic,” Mr. Eby says. This makes it hard to separate the effects of the tech sector alone from housing in the region, he explains.

 

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