The future of Canadian housing
During the past decade under the Conservative party, left as a legacy “high home prices”, it may not have been intentionally but as a result of the influence of the so-called economic crisis south of our border.
This depression was attributed in part, to the relaxed regulations handed by the republican party, and perhaps, with the intention of generating a more dynamic housing industry, that did happen, for a short period of time and over faulty grounds of credit, where unrealistic financial capacities to repay mortgages were omitted and loans were approved, but not able to be repaid.
The economic crisis was also fueled by the corporations’ greed, exemplified by their executive’s extremely generous bonuses paid by the shareholders, these main factors came to generate a financial meltdown, that caused the economic depression in the number one economy in the world to which we border with.
In view of the above scenario, we could understand that our conservative government focussed on maintaining a rigid line in our current housing system to protect the home value. Unfortunately, the strategy has not delivered enough availability of the inventory of affordable housing to keep the rest of the home prices low.
The newly elected Liberal government is proposing to increase funds to affordable housing by prioritizing investment in affordable housing and senior’s units, new housing units and refurbish old ones repurposing.
The new Liberal government has also offered, to modernize the existing home buyers plan ti assist the vulnerable affected by sudden and significant life changes.
They will also review the escalating home prices in high-priced markets like Toronto and Vancouver.
I guess we can expect in the short future more affordable home ownership programs like the ones we currently have in Peel region and in Waterloo that could ease the high demand for housing in Toronto that is driving the home prices as high as we are currently experiencing.
We could see that in the next 5 years a slowdown in the rapidly increasing home prices but maybe just enough to keep the prices as they are, but more affordable.
These are my personal views.
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