According to Andrew Lis, Director of economics and data analytics for the REBGV, “Affordability” is a term that has become increasingly prevalent in discussions surrounding housing and real estate over the past decade. Whether you have personal experiences or professional involvement in these areas, you are likely familiar with the complexities associated with this loaded term. Its significance has reached such a magnitude that politicians and policy makers have devoted considerable attention to addressing it, as it now plays a crucial role in their electoral success or failure.
In today’s political landscape, it seems that promises related to affordability hold great sway, encompassing not only the ability to purchase a home but also the affordability of basic necessities like groceries. However, it is disheartening to observe how Canada’s history is marked by a multitude of unfulfilled pledges from political parties across the spectrum, all aimed at improving affordability.
In the past, there was a sense of clarity regarding the path to homeownership, often referred to as “the housing ladder.” It represented a social contract wherein younger generations could reasonably aspire to achieve homeownership through progressive steps. However, in many of Canada’s densely populated and prosperous regions, this housing ladder has become structurally fractured, leading to far-reaching consequences throughout the country.
In the following discussion, we will delve into the broken state of the housing ladder in Canada’s most populous areas and explore the resulting ripple effects that permeate the nation.
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Copyright Real Estate Board of Greater Vancouver. Reprinted with permission. REBGV makes no guarantees as to the accuracy or completeness of this information.