Quote:
Originally Posted by chemgear
It's going to take years/a solid decade to try to fix the affordability situation of housing and basic costs along with the sheer weight of adding a million+ people per year every year.
|
The only solutions to high house prices are lower house prices. What that would mean practically is that the 60-70% of Canadians who are homeowners, many of them sitting on decades of price appreciation would need to see their house prices decline or appreciate lower than inflation overtime. This is problematic because many Canadians massively overreached financially to get into their home and likely sacrificed retirement savings and/or others thought they were mini-Grant Cardone's and leveraged into multiple investment properties that depend on price appreciation higher than inflation to compensate for the cash flow difference between rent incomes and mortgage & other expenses. Those people all vote and are in the majority, so no party is actually going to 'solve' the problem because for many people the 'problem' is their livelihood.
What's likely more practical is that house prices don't fall in nominal dollars materially but inflation and devaluation of the Canadian dollar erode their real economic value measured in hard currency back to an equilibrium over time.