The debate about the future of real estate in Canada often swings around to the topic of the housing shortage.
The Royal Bank of Canada has voiced its opinion on the question of affordability, highlighting its estimate that a million households will not be able to afford a home by 2030.
It also claims that some 40% of these new households will not have sufficient income to afford rents in 2030.
In its recent article, the Royal Bank of Canada says the nation’s housing challenge is “not an easy fix” but points out that it is a “defining” political and economic issue for the nation.
The bank praised recent immigration caps and a pledge to increase infrastructure funding for housing.
However, it says the situation could be even more severe unless “all levels of government” take immediate policy action.
As an experienced real estate agency in your area, we also recognise the need for fresh policy to reinvigorate the real estate market and bring additional balance to the buyer/seller equation.
The Royal Bank of Canada has offered seven policy ideas to help buyers of all ages enter the market or upgrade their properties:
- Increase housing stock through policy decisions at national and local levels.
- Reduce regulation to accelerate building approvals.
- Encourage the use of cost-efficient building materials.
- Enhance training to increase the size of the construction sector’s workforce.
- Invest in the development of innovative designs and building techniques.
- Permit increased housing density in select areas.
- Encourage more purpose-built apartments in the residential construction mix.