Canadians who are struggling to find housing are advised to seek assistance from their local City Halls, as stated by federal Housing Minister Sean Fraser. During a press conference on September 18, Mr. Fraser was questioned about the government’s plans to address Canada’s housing crisis. A reporter highlighted the concern that many of the measures being discussed would take years to implement, making it difficult for those currently in need of housing. The minister acknowledged that it would take time to increase the housing stock through the government’s housing plan.
Recently, Prime Minister Justin Trudeau announced a $74 million agreement with London, Ontario, to build 2,000 new homes within three years, with more to follow in subsequent years. He called upon other mayors across the country to present their own proposals to increase housing supply and lower prices for families. The housing accelerator fund, which aims to construct 100,000 new homes by 2024-25, was introduced during the 2021 election campaign and later included in Budget 2022.
According to the Canada Mortgage and Housing Corporation (CMHC), the country needs to build 3.5 million new homes within the next seven years to make homeownership affordable. The CMHC attributes the current housing shortage to a decrease in housing construction, which can be attributed to factors such as rising materials costs, labor shortages, and difficulty obtaining financing for construction projects.
In an effort to reduce labor and material costs, Prime Minister Trudeau announced the suspension of the annual GST on new purpose-built apartment buildings. However, the Liberal Party’s declining poll numbers suggest that Canadians believe the Conservatives would be better equipped to address affordability and housing concerns. During a question period on September 18, Conservative Party Leader Pierre Poilievre criticized Trudeau, noting that house prices, mortgage costs, and rents have doubled since he took office in 2015, despite his promise to tackle affordability.
In conclusion, the housing crisis in Canada is a pressing issue, and Canadians in need of housing are encouraged to seek assistance from their local authorities. The government’s housing plan aims to increase housing stock, but it will take time to see significant results. The partnership with London, Ontario, to build new homes is a step towards addressing the shortage, but there is still a need for more construction to meet demand. The suspension of GST on new apartment buildings is expected to help reduce costs. However, the political landscape surrounding housing affordability remains contentious, with public perception favoring the Conservative Party’s approach.