There is just not enough money to solve Canada’s housing crisis: Stormont Partners
Вставка
- Опубліковано 17 тра 2024
- Taking a realistic look at Canada's housing crisis and the 3.5 million more units needed to restore affordability, Greg Kalil, founder and managing partner of Stormont Partners says it is obvious we won’t hit our housing targets by 2030, and simply not having enough money is one of the many reasons holding us back.
Subscribe to BNN Bloomberg to watch more videos: / bnnbloomberg
Connect with BNN Bloomberg:
For the latest news visit: www.bnnbloomberg.ca
For a full video offering visit BNN Bloomberg: www.bnnbloomberg.ca/video
BNN Bloomberg on Facebook: / bnnbloomberg
BNN Bloomberg on Twitter: / bnnbloomberg
BNN Bloomberg on Instagram: / bnnbloomberg
BNN Bloomberg on LinkedIn: / bnn-bloomberg
--
BNN Bloomberg is Canada’s only TV service devoted exclusively to business, finance and the markets.
For newbies, be aware that this is a grossly oversimplified scenario. For one thing, you can't get a mortgage on an investment property without at least 25% down payment. Two, it's easy to see comps for house purchase prices, but it takes a lot of research to understand the comps on rent prices. The trick is to find a place where renting is more expensive than buying, but those places are less common because of this very type of scenario. Three, you have to remember that rent number he's using is supposed to be net income, not gross. So you have to think about costs for taxes, insurance, maintenance and vacancy when you're researching investments. All that said, real estate investing is a good tool for wealth accumulation. But it isn't foolproof.
Basically correct. Just end mass immigration. Let market forces deal with the "labour shortage". Do we need hundreds of thousands tied up in fast food outlets? And, as a bonus, ending mass immigration will shift downward the GHG emissions trend line.
2.4 billion to Ukraine 'war effort' by last year 2022. It's not complicated you liar. It's a game in which you are played.
Very soon, affordable housing will no longer be affordable. So anything anyone want to do, I will advise they do it now because the prices today will look like dips tomorrow. Until the Fed clamps down even further, I think we're going to see hysteria due to rampant inflation. You can't halfway rip the band-aid off.
Home prices will come down eventually, but for now; get your money (as much as you can) out of the housing market and get into the financial markets or gold. The new mortgage rates are crazy, add to that the recession and the fact that mortgage guidelines are getting more difficult. Home prices will need to fall by a minimum of 40% (more like 50%) before the market normalizes.If you are in cross roads or need sincere advise on the best moves to take now its best you seek an independent advisor who knows about the financial markets.
It's often true that people underestimate the importance of financial advisors until they feel the negative effects of emotional decision-making. I remember a few summers ago, after a tough divorce, when I needed a boost for my struggling business. I researched and found a licensed advisor who diligently helped grow my reserves despite inflation. Consequently, my reserves increased from $275k to around $750k.
The answer is very simple, slow down Indian immigration to Canada by 30-40% otherwise the issue will keep on getting worse
Yes!! All immigration from a country with *_1.5 BILLION_* people must END!!
The problem is in Canada no one is investing and the bureaucrats don't have the skill to bring investment here. To get money to run the economy Canada is totally dependent on immigration and international students for money but the sad part is who will come here except Indians who are the top of the list. This foolish government thinks by giving Indians the PR who are living on work visa in US, will bring them here. But no they will come here and get the citizenship and move back to US for work because the pay is good and the weather. And the rest of Punjabis Indians who aren't very skilled education wise will remain here after doing some certificate program in College on fake documents from India. The government is totally screwing the country. Canada is banana Republic now😂😂😂
More like 0% for next 2-3 years until things cool down
Racist
What a pointless word constantly misused by the most insipid, worthless people. @@righthandstep5
Immigration levels are too high for current housing levels. We need to slow those down to get housing demand down. Housing Lobbyists will never let that happen.
Wages are garbage in this country for the current cost of living. Partially a problem because of the first point and secondly because there is absolutely no competition in this country so the oligopolies collude and voila, shit wages, crap service, high prices.
The thing is we need immigrants. Canada wouldn’t be sustainable without them. Low birth rates, lack of skills etcs.
Canada was fine till 2018 with 100-300k immigrants per year
Shit hit the fan when liberals started bringing over $1M immigrants a year for no reason
[Wages are garbage] --- wrong ! Indians are more than happy to have this level of wages, they are coming like brown wasp swarms that no one can stop it.
@@hanfucolorful9656
Someone can stop it if they're willing to risk their career and reputation being called a racist.
@@MiguelBoisvert
"Low birth rates"
Lack of affordability, destruction of social cohesion.
"lack of skills"
Similar to the previous reasons listed, but in addition to a unwillingness to fairly compensate the local population with pay commensurate to cost of living expenses. Employers get around this by importing prospective employees that are willing to work for less and tolerate a lower standard of living. Unfortunately most of these individuals either exaggerate or outright lie about their qualifications. I have seen it, immigrants brought in as replacements who can't even perform the most basic responsibilities required of their positions, which than requires shmucks like myself to take on additional work to compensate for their shortfalls(some are so laughably unqualified and unproductive, many simply sit around contributing nothing to productivity while being payed to do so). Current immigration policies are a joke and ultimately are producing a situation that will ultimately contribute to the destruction of this country as we know it. And this will happen, it isn't a question of 'if' but 'when'. At this point I refuse to believe that this isn't intentional.
Slow down immigration until we have places to live for everyone we want to welcome.
So it is time to stop pretending to be a super hero and rescuing every single migrant that wants in. Let the population growth slow down entirely, stop building, if they are telling the truth a big IF that there are not enough people to do all the work in the future as our population is mostly the aged, then there will become a competitive market forcing the cost of rent to go down so that those charging way too much for rent will have to lower prices to keep the units full. We need a competitive market, we cannot go on the way we are. Plus be sure they are later when we let them in again allies and not the opposite of allies.
Who is going to work all the minimum wage jobs? Because I don't know if you noticed, but most Americans/Canadians aren't willing to put in a hard days work anymore.
2.4 billion to Ukraine 'war effort' by last year 2022
@@kyleellis1825bs
@@kyleellis1825 Are you kidding the minimum wage jobs is all our children can get and all we can get. Unless you have someone on the inside to get you up the ladder there is no hope. They give all the rest the special training. Pay attention to all the posts on the buses to aid them with on job training and paid. NOt for us.
In essence, city employees are not doing their jobs. They only put in two to three hours a day, three days a week, at work.
This explains the delay in all of the approvals.
Canada wouldn't have a housing crisis if they didn't invite half the planet to live in their country. The math couldn't be simpler.
If you want to stop the housing and health care crisis it's very simple. Pass a law that not a single immigrant is allowed into Canada until every single Canadian citizen has a roof over their head and a family doctor. Gaurenteed both problems will be completely solved OVERNIGHT!
Exactly. Put the brakes on, hard.
And who is going to work the min wage jobs? because very few people are still willing to put in a hard days work.
@@kyleellis1825 teenagers? I don't know maybe the market will decide based on working conditions and wages? try not being a god damn socialist
@@kyleellis1825Students. Or better automate them with AI
Prefab homes need to go into mega overdrive. The issue is the supporting infrastructure. It's not just homes, its pipes, power grids, streets, storm water management, etc etc etc.
City governments won't allow it though. Too afraid it'll "Hurt the character" of their neighbourhoods.
@@MrJoeSomebodyprefab homes in this climate is a risky conversation to have, speculatively.
It's actually government that is hindering construction.
@dmc8418 yes of course. Should that take 5 years and $50k? No. That should take a few weeks top and a few thousand.
i think at the end of the day it is a skill and risk taking issue. Canadians have had a long time of no risk required in entrepreneurship. thats why all our major startups fail such as blackberry and nortel (shopify is teethering). All one had to do was sit on housing and see it appreciate. Now we will go through some painful decades of skill and risk learning and see more entrepreneurship in the country before things get better.
These contractors and the government should be charged with treason
Time to reduce demand then
Let's find out what the founder/managing partner of a 'real estate focused merchant bank' says: "We need a lot more foreign investment in Canadian housing" - what a surprise.
international finance created this mess
2.4 billion to Ukraine 'war effort' by last year 2022
What does that have to do with this?@@erictread
There just arent enough jobs and rentals for all the new incomming immigranta.
Current mortgage qualification is the problem!!!! It is much easier for investor to get mortgage than an individual purchasing a home for their own principle resident!!!!! Cut the demand created by investors to free up more homes for end users!! Specially single home , down payment 50 to 60% for 2nd home purchase!
Because government intervention forced mom-and-pop landlords and individuals out of the housing market leaving investors to fill the void as they can afford to put up with the government's BS.
Not that many years ago acreage and rural land with a home? : the banks in Canada wouldn't touch it. But they'd loan cheap money to a corporation like a forest company, who would buy your farm, log it and permit it for a gravel pit, and you'd get nothing. the problem is the big Canadian banks, Toronto lawyers, and Montreal thugs. they steal it. have for decades. gaming the system and keeping you out. the other issues on top: immigration, off shore money, old money, stolen money, laundered money make things worse, but they're not the foundation of Canada's issues.
Reduce immigration BIG time. Increasing or leaving it at it's high numbers just makes things worse!
No, they won't. I heard from cbc that they will accept 1 million immigrants in 2024!!! 🙄
Sounds like continuing to prop up achingly slow, crushingly expensive regulatory bureaucracies is the way to go.
During the various recession/depressions in Canada many of my co-workers packed it in in private const. and got a job with the city/district as th epay check keeps coming no matter the economy. Many "bailed" when they saw the credit crunch slowdown coming in 2008. I can't blame them.
There are a lot of houses available but the prices are out of control. Stop emigration, increase interest rates to lower houses prices and after the bubble bursts lower interest rates. The reason why we are in such terrible housing mess is that the ZERO % mortgage rate and 5 % down payment allowed people to buy not one condo but 5, 10 or 20 and then rent them as AirBnB.
You can't stop emigration in a free country - people can leave if they want to.
But now I takes an average canadian 20 years to save up enough for a down-payment so canada is unsavable. Time for all young ppl to move and let canada age out and become brown.
Canada needs to shut down it's immigration for like 10 years.
@@dmc8418I'm tired of this argument. I've been a renter all of my life and I could tell you some horror stories about a few of my past landlords. Your argument promotes taking housing off the rental market, as if it's the natural consequence. But when renters are priced out of the market they have no choice but to keep renting. They can't say: "I had a crappy landlord and it made my life hell; so I'm just not going to rent a home anymore".
I’m sure the first timer buyers who bought in the past decades would just love to find themselves in negative equity as prices drop.
The boost availability you need built more. To fix the price, you only need to tighten loans rules on mortgages. They don't want to pop the bubble to fix this problem.
The minimum down payment should be 40 or 50% , not 10%. Prices are grossly out of whack and need to be brought down to pre 2014 levels. Raising the down payment requirement for all mortgages would be a step in the right direction that may be politcally unpopular among powerful voting blocks but the right thing to do .
Not build more. Stop immigrants which is demand
Either home owners are loosing some equity, or we are all dealing with inflation (wage-price spiral), or some combination of both (stagflation), there are no other ways around to fix affordability.
Arbitrary migration targets are simultaneously increasing demand and suppressing wage growth. There are better ways to control immigration. I would suggest demand based approach with some guard rails in place. For instance, I would require all educational institutions to provide housing for international student (at least 50%). Businesses should be required to provide accommodation to all temporary/seasonal workers on top of the minimum wage. In order to hire foreigners employers should be required to prove that he is paying enough to afford housing in the region (market cost of accommodation is less than 30% of salary). Accommodation for refugees should be secured before bringing them to the country from around the globe. No accommodation = no permits. It would limit demand and prevent wage suppression.
I think you're idea about student housing is great, but it should depend on the sensitivity of the area (in acute areas such as Vancouver, say, UBC should be building student housing for every international student). I also like the idea that foreigners have to have a job here that pays a wage high enough to live here - this would select for people who are willing to integrate into the Canadian economy, rather than just import their fortune, outcompeting local earners who are dependent on the local economy.
but Blackrock wants the wage suppression, hence they need to import em into nations worldwide and force the government slaves to do it. ESG and such needs to be invested into their go woke go broke mass media globo-homo projects, they gotta recoup all those investment projects somehow that are killing the value of dividends. Nobody wants to think that way about it, just follow the usual corporate complacency perspectives.
@@beautanner8409 you guys are assuming those in charge could give a shit about canada. they care about money and nothing else.
Maybe dial back the amount of immigration a bit ?
Well you heard it here, there is not enough money so you just have except that your homeless.
I really don’t understand why these guys wouldn’t bother to touch on the biggest and most obvious reason why Canada has a housing shortage problem: overpopulation, or excessive population growth, which far outnumbers supply of new homes. Admit it please, at current pace of population growth, the housing shortage can only get worse and worse.
The Federal Government still isn't bothering to use Federal office buildings that are not being used. There is not just one solution. It's not that there isn't enough money, it's that Governments always want their share and have so Many hoops to jump through they take all regular people's incentive away. Too much cost and not enough benefit for the average person. All Governments help big business.😡
well is bullshit when theres 2 people in a house who have grown up here their entire lives, both work, dont qualify for a mortage, then you get fresh arrivals to canada in the next room who have been here 3 days getting approved for 900k mortages because they get government income from the country. we can give billions to other countries and cant take care of our own people, its disgusting
Yes. Money launderers and fraudulent bank loans to people who shouldn't qualify.
You can 100% own a home. Most of out of GTA detached houses are around 550-750,000.
Thousands.
Toronto Condos now are under 550,000. Hundreds of them.
I have a ton of clients buying for these prices.
Have patience and focus on your career.
The most important in Canada.
There are 100% hopes for all of you.
Just believe in you.
140 detached houses sold in London under 750,000.
43 detached houses sold in Niagara Falls under 750,000.
41 detached houses sold in Kitchener under 750,000.
20 detached houses sold in Barrie under 750,000.
51 detached houses sold in Kingston under 750,000.
The Greater Toronto Area, commonly referred to as the GTA, includes the City of Toronto and the regional municipalities of Durham, Halton, Peel, and York. In total, the region contains 25 urban, suburban, and rural municipalities. Niagara, London, Kitchener and Barrie are not part of GTA.
No point in building more houses when new builds are charging over $800k and investors buying them all out to sell them for $1M+ or rent them for $4000/month
Building isn’t the solution
What we have here is a failure to communicate.
Good thing we gave so much to Ukraine
This guy …. No one is stopping foreign investors from building rental units. Foreign investors get dinged on buying homes that they don’t live in…
Congratulations on building homes in Canada 🇨🇦
He was being nice as far as to why the municipal govt is slow.
The voting majority in any particular municipality doesnt want densification in there back yard, so there is no political motivation to speed it up, actually the political motivation has always been to slow it down so the developers give up and try in someone elses back yard.
Exactly. Most of the people in those towns want nothing to change. They essentially want to be the last new form of housing. It’s disgusting and the politicians feel like they can’t go against that because they won’t get re-elected.
Yes and that's exactly why the BC government just pushed through law that overrides muncipliaties ability to dictate things like this. This kind of chummy smalltown-esque vote buying by the mayor and the munciplaity will no longer be feasible. Laws like this will become more common as this problem grows larger and larger and local municipalities will start to become powerless to stop high density developments in key area no matter how many people are mad about it.
who the hell would want to live in an urban area when the suburbs exist? houses over condos any day
@@user-ee2vt7yi3m lower income people.
Who make the economy tick.
@@user-ee2vt7yi3m
But the urban areas made the suburbs relevant.
if gov spending was under control interest rates would be lower, people could borrow money and builders would build. since the budget hasnt balanced itself maybe its time for some real economics. this gov has created the problem it now has no solution for.
Is there a realistic study regarding the occupancy rates which is not reflecting the reality of holding to empty spaces as an investment?.
What will happen when we fail to provide homes? Why can’t something be done about those short term rentals that home owners are cashing in on and thereby free up much needed housing?
hose that I know short term rent their second/third home to families they know through their activities. if you could completely ban all short term rentals they'd simply not rent: they need their place at the lake or in another area for summer activity/vacation or winter skiing. nothing would be "freed up" except maybe Scottsdale: that was sold during Covid.
500,000 is double not triple 250,000
It's simple Supply and Demand...Too many Buyers (Immigrants) and the Big Reason.... Municipal Red Tape some Municipalities in Victoria BC here take three years for zoning and building permit then there's no guarantee
There is a shortage of urban planners, that's a big impact if you have 10 people who need to approve 100s of projects.
House prices and rent need to come down. The Bank of Canada needs to keep rates at current levels for at least the next year or 2.
Wages need to go up 3-4x in order for people to afford housing, or the bubble needs to pop. Toronto has the most cranes of any city in North America, and it is still not enough?
The very fact these two guys even need to ask why it takes so long for municipalities to approve new housing shows just how out of touch they are. Here's a hint: CANADIANS DON'T WANT MORE DEVELOPMENT! No one wants more suburbs, more people, more immigration, more development, more environmental destruction, more traffic, more EVERYTHING that sucks about development. People don't want it, so federal and provincial levels of government have to manipulate and pressure people into accepting what is bad for them. Here's another hint: if you think massive population growth is needed to solve our "labour shortage" you are living in a deluded Dream World. Look around. Other countries are dealing with far far worse shortages without these measures. Look into it. MIND BLOWN!
there is no labour shortage. there is a surplus of unethical employers that dont want to pay a living wage and so want 3rd world workers.
Exactly 100%
They don't want build that many house,they want to keep the prices up.
Or you stop blocking contractors and builders from doing it themselves.
They can’t do it. There are not enough company’s and machinery for land development needed to support needed housing crises.
There seemed to be "enough money" to pay people to stay home during COVID... how much was created again?
Government knew this was an issue for over a decade, chose to do nothing but get rich off it.
We know who they are getting rich off of any enemy of the white people that they falsely accuse of being white privileged while they also attack Christians and not allow them to say Merry Christmas or put out any Christian looking Christmas decorations in the U.K. not to offend anyone. Meanwhile they can put up on bright lights Happy R........n with no fear for they already preached tolerance to all the white countries. Look also to Armenia as the world is not watching. Christians are the most persecuted in the world and nobody cares but to spread more hate against them. Why, because we are all being taught to tolerate so that the governments can get rich and they care not how the people suffer, religious buildings for others are now becoming much bigger and taking more space than any previous christian buildings. It is a trend those that the government support religiously get the biggest and most government support because the government gets big cash payouts too. It is like a carousel where money exchanges hands but never to the people. First we need to get rid of the UN, stop getting oil from other countries etc... and we also need to stop sitting on our hands as they brain wash our children in schools.
Create a law to limit rent costs in different areas, investors will then be forced to sell their properties, also limit immigrants... problem solved
We already did that. Hence the Air BnB and renovictions.
Or leave the properties to crumble calling for demolition as that is deemed more profitable than renting to bad tenants they cannot legally evict in a timely manner.
@@shauncameron8390 I dunno but cost still too high
No surprise that a founding partner of a Real Estate Investment Advisory Firm (Stormont Partners) does not see a problem with the financialization of housing. He wants more foreign investment and no rent control. Of course, he mentions nothing about prices having to come back down to long-term normal to fix the problem. All of the people involved in this bubble want it to go on forever, at the expense of the younger generations. Canada has become a country dominated by greed.
What I'm hearing is: Canada's housing crisis is a monumental problem, and there is no feasible plan to solve it, so the problem will continue indefinitely... The game is over.
Time for us to get up and play a totally different game.
I don't see how "producing more housing" is a viable solution. People can't afford the current price of a house and this trend will continue for a very long time. Possibly 20 to 40 years.
I think the future of houses will be half the size in sq ft.
Also, Canada is having an extreme fiscal crisis. The best the Canadian Govt can do is issue the homeless blue tarps and call it housing.
It’s really simple. Start cutting income. Recession hits. People file bankruptcies. House prices drop more than 50%
More like 90 %
correction, there is not enough *taxes* to solve the housing crisis
There are a LOT of building trades workers who are out of work right now!!! They are out of work because the cost to build a home now puts the price very high. With interest rates rising more & more people not being able to afford homes any longer there is a real risk of a housing crash. Builders know better than to build when economic risks like there are right now exist.
There is justice though and justice says one share of GDP is more than enough.
$529 600, as of 2014 GDP figures.
There is too enough money, the greedy simply need to share what they don't deserve and have no constitutional right to hoard.
The only people scared of rent control is the greedy landowners. Rent control is a big factor in housing stability.
But rent control is also a big factor in why Air BnB and renovictions exist.
Actually a lot of people no longer want to be landlords.
Landlords have few Rights.
Renters learn the system and know the landlord tenant counts are backed up, and refuse to pay and will not move out.
I will never be a landlord in Ontario again. Too much B.S.
Privatizing the founds !
Our homes should not be the investment vehicle of foreigners. This is negatively impacting Canadians and Canadians welfare should be the government's priority.
"it just takes that long" ..
How much did we spend on Covid measures?
Steps to make housing affordable in Ontario and Canada. #1 increase mortgage rates so people don't buy homes#2 stop immigrants from coming to the country. # 3stop foreign buyers from buy homes in Ontario and the rest of Canada#4 convert farm landing to building houses close by. #5 tighten mortgage loans make it difficult to get a loan. And put new Prime Minister who can make this work.
How is setting the entry barrier high going to make housing affordable?
Wow 😂😂😂
@@shauncameron8390less demand so prices go down
Its not even just creating housing thats an issue.
It's preventing people who already own homes from buying more.
You will constantly have a deficit if the new houses are being sold to people who dont need it. It perpetuates the cycle.
Correct.
We built an apt. compllex in the seventies for new arrivals in LA with our family money, and ZERO govt. help/grants. But today you have to have impact hearings, feedback from community, and a slow process. What took 11 months forty years ago would now take at LEAST three years, and that's assuming all would proceed withou tissues or material or labor shortages. Canada? EVen worse. I'm not saying we should end run and freedom fry; this guy is correct: permit processes must proceed with alacrity.
Build starter homes! Stop building crappy McMansions that cost $400,000 and up.
Build starter homes for under $110,000!!
Exactly..all the cardboard houses are overpriced
everyone should know the municipal governments can't function anymore. They need to be reformed.
Time for Canada to start purchasing some farmland within commuter distance of their major cities in order to build high population density high rise residential cities like they do in Asia (Singapore, Japan, South Korea, etc.). Just 25 square kilometers of land could allow residential cities to be built that could accommodate 4 to 8 million people in high rise condominiums and rent controlled apartment buildings.
@@MrJoeSomebody
And also less immigration.
For the large cities where prices are really out of control there is already development out 25KM from the heart of the cities. A big part of the issue is that most of this housing is single family homes. We need to pack dense urban housing around all the Go Train stops. To do that we pretty much need to stop consulting with the local community - we already know that for any given property owner the best possible outcome is no one is ever allowed to build another piece of real estate again.
Really we should be looking at what they did in Tokyo. Possibly the worlds largest city (or second largest depending on how one wants to count things) which once had completely out of control housing costs but now has an abundant housing supply.
Idk bout you but I like eating fresh local food. Sounds like a very bad idea.
go to hell with your urban ghettoes, make farming great again, make suburbs great again, make canada great again
Housing prices IS THE ISSUE too many people making money in the real estate industry
According to Citizenship & Immigration Canada, Canada estimates that the average payment per month for migrants is 2065.00 and for 12 months, a total of 24,780 per individual per year, now you times that by the number of people he is bringing into the country which is 500,000 every year now and you get 12.3 Billion dollars in expense for just one year, right now we have about 40 million people, Justin wants to up that number to 100 million, anyway my point simply is this, you just cannot keep having that expense every year and expect to have enough to maintain services or pay the bills or even meet the resources required to take care of that many people coming in every year without putting the whole country into bankruptcy and have a currency that is worth ZERO VALUE like Venezuela, as things sit right now our currency is losing 7 to 10% of its value every year, and it would probably take at least 20 to 30 years to get things back to normal, but as long as the liberal party remains in power that will never happen. It seems that his policies are more important than the Canadian people's quality of life.
@@MrJoeSomebody This program is for migrants and asylum seekers only, not immigrants, all facts and figures come from Immigration Canada as stated above. The program is called RAP- Resettlement Assistance Program, end of story.
people just need to get the hell outta Canada!!!
It is easy to fix tax investors and groups that are buying homes leaving them empty target the foreign investors. More homes built higher costs of materials and longer times for permits. Need cheap starter homes like after we2 nothing to look at but something that can own and grow with the family's . For every huge house built 40 starter homes could be built . Target all the empty ones .
Maybe the houses are too expensive. Maybe they are too large. And spread apart in the suburbs; which requires more infrastructure. Also the zoning in the municipalities is "probably" geared towards large detached single family houses.
The municipal representatives are elected by the existing constituents (large home owners) and they probably want restrictions on the amount and type of housing to increase the value of their home. I'm a home owner (in Victoria) and I think that way and so do my neighbors. Everybody wants their house to double in value in the next 10 years like it has in the last 10 ... or 7.
It's starting to look like a pyramid scheme. (but everyone knows that, they just don't like talking about it)
How much of the economy is based on developing large houses? I'm not sure (maybe someone knows). Doesn't this effect the rest of the economy? All the resources and human capital used to build luxury housing?
I don't really care anyway. Maybe your children will. We will see.
There is already legislation being pushed through in BC to put an end to this kind of NIMBY attitude which overrides what the local municipalities have authority to dictate and I'm sure this is just the start. Single family homes close to city centers are going to be replaced by high density developments. The upshot for people like you and your neighbors is that land value will increase as a result. This problem is growing too large too quickly that higher levels of government are going to get increasingly involved no matter which side of the isle they are on. High denisty is the answer to this problem and no amount of white haired crying boomers at the mayors office is going to be able to stop it.
Our first house had four rooms, outhouse, and a wood stove. I think we had some electricity for lighting. I have the photo. start somewhere, but today you cna't do that; Codes, permits, design and by law enforcement means you need to start life with 11 bedrroms and 13 bathrooms in marble!!
christ on a cracker who wants to live in a tiny ghetto apartment when they could own a home? we're not the soviet union we don't need tiny apartments we NEED HOUSES, KICK OUT THE MIGRANTS AND WE HAVE ENOUGH HOUSES FOR ALL CANADIANS
Thanks to government meddling which made building other forms of housing too costly and all but completely illegal to build.
No housing for seniors, walk ups r for the young, we need towers w elevators, we will be homeless over greed … 100% rental cars in AB ..
sorry FD dump crappy housing , why not make demand that a2% of all towers should invest for affordable housing . Yyc yeg we have 84000. Waiting. This is pure greed by developers. My husband started the condo conversion in 1990, we kicked seniors out of their homes..
Profit doesn’t feed your soul.. Integrate housing..
No enough time too
It’s all wrapped up in Expensive Canadian Houses.
Canada is a mortgage jurisdiction, compared to a "Deed of Trust" process like Calif. TExas, Wash. state or Florida. That means the Bank of Canada and the big five make it very, very hard for the average person to quality and get INTO the game. Once IN, you're good. In the US young couples want to get in fast as owners because you can DEDUCT your mortgage interest, but no so in Canada. There have been many cycles for no real reason, and overseas money jumps at the chance to scoop when interest rates are real high, with overseas cash. I can't blame them, but it's one factor that makes things worse. Jobs now are not the guarantee of years ago, so now the banks are even more conservative. Basically, it' s more on them than anyone realizes.
ban foreign ownership of housing, housing is for canadians, not foreigners
Sign the e4701 petition to get truduea out!
Tarrion and hcra are also ridiculous to deal with. Don't make it easy at all.
EDIT 'There is just not enough money to save Canada'
There will soon be plenty of empty commercial office space available in all cities, awaiting conversion to small government-managed apartments. It would allow for the lodging of the homeless and immigrants. I envision, over the next few years, some larger populated cities with core density requiring major urban upgrades while embracing new concepts and technologies. Tax and grant incentives are likely to stimulate the construction industry and accelerate these pressing initiatives. The busy rush-hour human traffic of a city downtown shall become a permanent daily environment where automobile ownership will no longer be necessary.
Canada economy is dependent on house .. huge bubble....no other industries no skill. No good quality immigration just ..
English speaking labourer 😅
Approval times are lengthy because planning for services is a complex process, and because, let's be honest, developers don't have the best interests of city planning in mind. Their focus is profit, so need to be held to standards, which they invariably buck against. That all takes TIME
Like any self-respecting business.
You're absolutely correct. These financing/developing talking heads saying we need to lower our standards is frightening.
@@shauncameron8390 Absolutely. All I'm saying is that developers should not be the sole arbiters of good development and city planning.
I think TONS of young people will be steered to go into the trades and home construction and if we do avert this crisis somehow, there will be too many workers available and salaries will plummet. It happened with graphic designers and every time Ontario says we need more teachers. Too many people go into those fields and get stuck without a job or without adequate pay.
It'll be less likely for construction since that's not a job most people can do for decades. The issue you're describing is more so a problem for non-trades positions. In BC, we couldn't find any construction workers during the earlier days of the Great Recession. Suddenly, by 2013, you could easily hire them. But now there's a slump again as of 2023 (I do property management and construction and know this for a fact). Compared to white collar jobs, blue collar jobs will have salaries plummet way after salaries for white collar jobs plummet. Mind you, blue collar jobs have a higher likelihood of physical health problems, so I doubt the influx of a bunch of blue collar workers will have a long-term effect.
why should young people build homes for foreigners? young ppl will leave. canada is a waste of time
There's no loyalty in constructiocn and it's cyclical. you're either your own boss (not for everyone) and/or you're a relation to the boss. As a Safety Officer with concrete high-rise I can tell you it' s not for everyone: it's very physical, and all you need is ONE ankle crank or leg injury or hand injury and you're DONE. the demand was there: I got into it at 45 as I had taken care of my body. Guys half my age couldn't keep up, but the money was there until it wasn't. "Contracting out" killed graphic in the early eighties first (I saw it in Arch. at that time) then came trucking, and apprenticeships were al Union. Killed the unions, but didn't replace them with anything until ontario smartened up in 2000.
@@user-zp7jp1vk2iFinally someone speaking the truth. Im a CSW and I hear what your saying.
A 50% increase in rents and housing costs is not enough incentive for Canadian capital to invest in Canada? There is plenty of capital in Canada to build Canadian houses and rent control is a joke. Rents have gone the roof. Perhaps seven years for a unit of housing to be built is the real problem and there is no reason for a shortage of workers when we have historically high immigration levels. Foreign capital is not the solution. The inflation of the Canadian economy is strangling capital investment into increases in housing.
But bureaucracy made it a costly endeavor. Rent control helped exacerbate the problem.
Five years ago, the rent where I live was around 700 dollars. All new rentals are double what they were five years ago.@@shauncameron8390
JUST BORROW MORE MONEY IN THE WAY OF MORTGAGES
says the banker that shouldnt be asked about housing....
Take a hard stance against short-term rentals! This will increase supply without putting shovels on the ground. Investors of short-term rentals buy-out the supply that is supposed to be for the masses. You don't build healthy communities with people who come-and-go.
SR’s do need to be squeezed but it’s for optics.
There will be no significant effect on the market as there simply aren’t enough of them.
But there’s no tolerance for even 1 single short term rental during a housing crisis so it will happen.
Thanks to government intervention that made long-term renting unviable and forced mom-and-pop landlords out of the market leaving said investors to fill the void since they can afford the high entry fee.
BRI Forum in Beijing last mth, 140 leader's attended for cooperation in Agricultural-Poverty alleviation-Infrastructure-STEM Healthcare. CGTN The Point-Hub-Heat, RT International. Reporterfy-Cyrus Janssen. Engineers & Farmers etc did it in China for 50+ million
The current housing mess began fifty years ago. All the governments during that time are responsible. A house in 1971 that cost $10,000. now costs $300,000. This is because our dollar has been devalued over that time. A dollar today is worth $0.03 compared to a 1971 dollar, thirty times. Why does no one state this. As far as I feel, all debate is simply a distraction.
Instead of raising taxes on the top ten percent or not cutting spending caused the governments to create more money without the level of GDP to support that new money.
Secondly, the population went from 25 million to 40 million today. While this happened Canada as a whole never built more than 250,000 home units and one year it was under 100,000 units. Increased demand and low supply gives us the housing mess of today.
It will take fifty years to correct this.
You have also feminism to thank. Feminism led to single people and childless couples needing homes along with mass immigration to make up for all the babies not being had.
@@shauncameron8390 Yes, my four grandparents in the 1918-1930 period produced 22 children six of whom died before age two. All those people married and had families of between three and eight children. All my cousins had families of fewer than three children, some even with none. There you have the change over three generations. We will never go back to that. It is a little bit like China's one-child problem. The difference is we can count on immigration while nobody wants to go to China.
>Now, we cannot continue to build communities as we do now. The whole idea has to change. Forget single-family homes. Too much of the available mortgage money is going to an outdated community model. The banks are now being obstructionists. Even condos will not work anymore. Our architects, designers and some builders have to come up with a totally new concept on how to house everyone.
>After the WWII we saw many new communities with modest homes of modest size but these were successful. We need a new model!!
This is the sad truth. Same thing they dont tell you about the "doctor shortage". Not enough money to pay for fully staffed health care. Sorry.
But plenty of money to pay for administrators and bureaucrats.
lower the taxes first , and build more homes , theres plenty land every where , more houses are build , the lower prices go , but we all know how the goverment is so slow to catch up ....but as for food and high car insurance thats not going to change .
Keep in mind if the jobs dont pay that well people are just not going to stick around and they will move to other countries and you will have shortage of doctors and nurses and other skill workers not hanging around , because if those job brackets dont get filled to max , then you will be in deep trouble , as for all haters on here saying stop immigration then you all can work in hospitals speed up the waiting times , since you all know the answers to questions
Because all i see on here is haters who hate immigration , so if you all think you can do better , then do the job !
Bnn should have been far more critical of the liberal government. Wonder how much that has to do with them receiving$ from them during covid?
Need to slow the demand.. Limit immigration. Is it that hard?
Notice the government always talk about increasing the supply and never about cutting demand. It's all about VOTES
Not enough money to build more housing but there's money to send to fight war make that make sense.
I'm hoping for a housing crisis so that I can buy cheaply when I sell a few residences in 2024. I've been thinking about buying stocks as a backup plan. What tips do you have for determining the optimum time to buy? On the one hand, I continue to read and observe weekly trading earnings of more than $500k. On the other hand, I keep hearing that the market has gotten out of hand and is in the midst of a dead cat bounce. What causes this to happen?
You're not doing anything wrong; you simply lack the knowledge required to profit in a down market. Only highly qualified professionals who were compelled to observe the 2008 financial crisis could hope to earn a high salary in these challenging conditions.
@@danieljackson87 I've recently considered chatting with consultants. I need direction as an adult, but I'm not sure if their services would be of much use.
They are truly professionals at the pinnacle of their field; I had the pleasure of working with one, and it proved to be quite beneficial as they supported me with reorganizing my whole portfolio. Julie Anne Hoover, a well-known practitioner in her industry with whom you may be aware, is my advisor.
@@danieljackson87 I should mention that Julie's profile appears to be quite informed, so I appreciate the recommendation. After discovering her online, I thoroughly reviewed her CV, educational history, and credentials, and I must say, they were outstanding. She responded to my message, and we agreed to meet.
the stock market is highly misleading so far this decade. the number by which is up is only powered by 6-7 stocks and of course youd not only have to held all those but have 10x allocation in them. in other words youll prob lose in the risk-on assets going forward unless youre in the know
The guest misses the point.
We need affordable housing. If the way to achieve that is more housing, fine, most Canadians are willing to live with that.
But if the money that enters the Canadian housing market comes from offshore, decades of experience indicates that makes it less affordable, not more.
So his plan helps people in the housing industry, like himself, but not would-be Canadian home buyers.
He's clueless white collar guy.. We can print money out of thin air just like they did for covid. I worked on mass sites that took 1-2 years.. 5-7 this guy is out of touch greedy boomer
Why would we trust this guy?
There would be enough money if we stopped sending it to the Ukrainian government for their mega houses and yachts
RIP Canada
Rent control bad? For who precisely?
Rent control enabled Air BnB, renovictions and corporate property ownership.
@shauncameron8390 I do hear your point but I think airbnb and renovictions were inevitable. Airbnb has been wonderful for me as I don't want a year lease at some dump out of necessity. The problem isn't the app but the greed, hence people having 100 rooms instead of one or two.
Renovictions? Buildings need to be renovated eventually but it shouldn't be abused. Again in my mind renovations are good, the greed is the problem. Evicting seniors on fixed incomes for profit needs to stop! But without rent control landlord's could just double anyone's rent that they felt like! Still in essence forcing an eviction.
One solution to this may be rent control on THE UNIT NOT TENANT. That would remove any greed driven factor from any form of eviction.
Rent control is bad because you will cause homeowners to shy away from renting out their units which will then cause rental prices to rise up to catastrophic levels. Evicting a tenant is already a headache, now imagine you can't increase the rent because of rent control, no one would rent out their property.
@@invoker7826 mate that literally makes no sense. People won't rent a room of their home out unless they can double the rent? Maybe they shouldn't ve landlords in the first place.
@@travismoore22
Maybe it’s bc they gave it all away ?
The speaker identifies the right problem but provide solutions which are intended to accelerate deeper housing crunch. First, foreign investment want to maximize profitability unlike simply debt financing. Second, no body wants to live in pigeon holes, we want communities. Third, we are taxed way higher vs what our current buying power is. The speaker only wants solution which maximize interest of buyer in exchange for a very duct tape. To make housing affordable, the public simply have to vote policies which will counter asset inflation or promote wage inflation. Both will mean pain, however asset de-inflation will hit fast and hard but in future will preserve currency and buying power
There would be, if we spend less on the military
I would rather give less to multi-billion dollar international corporations to set up distribution centers myself!
And keep on relying on the US for protection.
So why does the government (every level )allow companies to own multiple houses for rental businesses,why do retirement portfolios include multiple house rentals and getting the same write offs as apartment owners ! Do more homework!
The unintended consequences of rent control.
And yet the Soviet Union was able to rapidly build massive amounts of decent public housing after starting near last place economically at time of the Bolshevik Revolution and suffering the destruction of two world wars. Same with East Germany and other socialist states. Prefab efficient construction complete with playgrounds, health facilities, schools, community centres, and cheap public transport.
Don’t let the politicians and capitalists boosting their own wealth from the shortage lie to you. Housing CAN be built IF the political will is there from a government that works for the people instead of the rich.
And yet the economy stagnated then collapsed. In East Germany and other socialist states' cases, the USSR cut off the aid and they had no real economy to fall back on.