The price of housing, like anything else, is determined by supply and demand.
Victoria will offer cash to municipalities in exchange for easing the backlog of new housing unit approvals.
According to new census data, population growth in Calgary has lagged behind the regional average.
Boosting demand for a good without also boosting its supply puts upward pressure on prices.
Council and community groups represent strongest deterrent to homebuilding in Toronto.
Cities such as Vancouver and Toronto, with longer and less certain approval timelines, tended to see less growth in housing stock.
Affordability in Toronto has eroded to an all-time low, with prices jumping by more than 50 per cent in the past five years.
Regulatory red tape is resulting in fewer new homes than there otherwise would be with a growing pool of buyers, contributing to rising prices.
It’s impossible to achieve housing affordability unless the supply of new homes keeps up with demand.
Demand-side forces are still at play regardless of the new tax on foreign buyers.