Canadians are so anxious about the blistering housing market they're open to rate hikes to cool it

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Soaring housing costs have emerged as a major issue in public consciousness after a year in which prices jumped by 30% or more

The numbers underscore how soaring housing costs have emerged as a major issue in the public consciousness after a year in which prices jumped by 30 per cent or more in some regions. Economists at major banks have called on the government to act to reduce demand. At the same time, the Bank of Canada has made it clear it won’t raise rates until the economy absorbs its excess capacity — a milestone projected for 2022 at the earliest.

“I own a place, but I also have a son too. When I think about my son, it’s like, how is he going to survive in this world?” said Raymond Wong, a Vancouver engineer who filed a petition with Canada’s parliament saying the central bank should consider house prices when setting interest rates. “He can do everything right, do everything by the book, get an education, but at the end of the day he won’t be able to afford anything.

And like so many modern revolutionaries, Canada’s housing discontents are congregating on Reddit. On a subreddit called r/canadahousing, about 8,500 members share memes, post news articles and discuss what they refer to as Canada’s housing crisis.

 

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Higher taxes or interest rates etc. - the option that is never considered is the construction of affordable public housing.

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