Just a week ago, the Canada Housing and Mortgage Corporation announced 260 new homes. Of the 260, only 86 of them were considered affordable. With 2 million Canadians currently priced out of the housing market, this announcement was nothing short of an insult. It seems the powers that be are more interested in protecting the status quo and are not focused on disrupting a dysfunctional market.
This isn’t unfamiliar ground though. The last time the government invested a sensible amount into co-operative housing was in the early 1990’s. So a $1.5 billion dollar investment by the government is the biggest investment in 30 years. How far will this investment go? It will go into 6,000 new co-operative housing units. The truth is that City Councils in Vancouver, Montreal, and Toronto are refusing to end exclusionary zoning.
Young Buyers Suffering the Most
Who is bearing the brunt of all this? Younger buyers who have put all their chips to the middle of the table. These young buyers are now experiencing rising mortgage payments and are watching as their equity disappears. Even those who were waiting for the market to get better find themselves getting behind, with rising rates crushing their ability to afford their potential home.
First time homebuyers are not seeing too much of a break, and existing homeowners are realizing an erosion in their equity as much as 30%.
It has been a long time since we have seen a major housing announcement that helps potential homeowners get into their home. What we can’t have is business as usual. Until our government is willing to accept lower prices in British Columbia and other key markets to lower housing prices.
Until our government is willing to make the decisions that will be unpopular, you do have the option to build your own home. Here at SilverBeam Homes, we can help you with that. Give us a call today, and let’s see how we can help you make your dream of owning a home a reality.